QTerminals, a joint venture between Mwani Qatar and Milaha, will invest $120mn in Ukraine's Port of Olvia as part of efforts to expand its operations in the Black Sea region.
QTerminals won concession to develop, manage and operate Olvia port, which represents an exceptional opportunity on developing and operating world ports. It will invest some $120mn in the port during the concession term of 35 years.
“This concession is a major achievement for QTerminals that honors its strategy for expanding in overseas investments as a Qatari company specialised in seaports management,” HE Minister of Transport and Communications Jassim Saif Ahmed al-Sulaiti said.
He made this statement at the Ukrainian capital Kiev at an event to award the concession in the presence of Ukrainian Ministers Vladyslav Kryklii of Infrastructure and Tymofiy Mylovanov for Development of Economy, Trade and Agriculture as well as Qatari Ambassador to Ukraine Hadi bin Nasser Mansour al-Hajri and several officials representing Qatari maritime transport sector, Mwani Qatar, Milaha and the Ukrainian Sea Ports Authority.
Established in 1992, Port of Olvia, located in the Mykolaiv region on the Black Seacoast, has been seeing a significant year-on-year increase in grain and oils exports. Mykolaiv is a city in southern Ukraine and one of the top shipbuilding centers.
On an area of 178 hectares, Port of Olvia has six berths and 22 cranes and a number of warehouses and storage areas. Its quay is 1530 meters long and having own rail connection for transporting cargo inside the port.
The minister said awarding the concession is a key investment opportunity in one of Ukraine’s most important Black Sea ports and it will feature significant developmental works at the port in a way that supports its operations and boost its navigational and logistics services portfolio to meet best world standards and this will enhance its operational revenues.
Gulf Times in 2018 had reported that QTerminals had undertaken initial due diligence in the Black Sea region, which has extensive seacoast lines.
The Black Sea, which lies between southeastern Europe and Asia Minor, is bordered by six countries as Romania and Bulgaria to the West; Ukraine, Russia and Georgia to the North and East; and Turkey to the South. The sea has an area of 168,500 square miles (excluding the Sea of Azov, a length of 730 miles) and a depth of 7,257 feet.
This step would bolster the economic cooperation with Ukrainian and international firms, thus supporting the goals of the Qatar National Vision 2030, he said, adding it will represent a turning point in QTerminals’ journey of contributions to the sustainability of the national economy and support for the efforts that aim to leverage Qatar’s competitiveness on world map.