Preferred bidder identified for proposed liquid bulk terminal

With the lease for the liquid bulk terminal at the port of Port of Elizabeth set lapse in 2014, the pressure is on the Port of Ngqura to complete its parallel process of contracting a builder and operator to take over the service. According to Tau Morwe, CEO of Transnet National Ports Authority, a preferred bidder has been identified and a meeting is planned for July 14. “Once we have met in July it will be all systems go and we will present them as the preferred bidder to the Transnet board next month.” Rajesh Dana, port manager for the Port of Port Elizabeth, said no long-term leases would be issued for the liquid bulk terminal after 2014. “If the Port of Ngqura is not in a position to take over the facility when the current lease expires, we will consider shortterm leases, but we hope to avoid such a situation.” He said once the preferred bidder was announced they would have to build a new terminal at Ngqura which they would also have to operate. “We will align our ending of the long-term leases with the building of the new facility at Ngqura as much as possible,” he told FTW. Commercial discussions have already been held between the Transnet authorities and the preferred bidder, who has not yet been identified officially. Environmental studies are believed to be one of the biggest challenges as Ngqura is situated in an environment with strict guidelines around the fauna and flora. The Port Elizabeth liquid bulk terminal is currently operated by four major oil companies and has an annual throughput of 942 732 kilolitres with about 116 vessel calls. With only 28% berth occupancy, TNPA says it makes sense to move the entire facility to Ngqura.