ID :
18556
Tue, 09/09/2008 - 13:21
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Shortlink :
https://oananews.org//node/18556
The shortlink copeid
Fujairah Port raises Dh900m to expand and set up facilities
Fujairah, Sept 9, 2008 (WAM) - The Port of Fujairah has raised Dh900 million to expand existing operations and invest in new facilities.
The Fujairah-based port and terminal operator has signed a syndicated facility with the National Bank of Fujairah as the initial mandated lead arranger and the Commercial Bank of Dubai as mandated lead arranger. The facility was fully underwritten by both banks and was heavily oversubscribed.
The growth of the firm has until now been financed by internal cash generation according to the daily Emirates Business.
"The fact that the syndication loan was heavily oversubscribed is a testimony to our overall strength," said Chairman Sheikh Saleh bin Mohammed Al Sharqi.
"We have clearly defined our expansion plans and their objectives, which will benefit not only the port but also the commercial support services in Fujairah and the rest of the UAE."
Steve Mullins, Chief Executive Officer of the National Bank of Fujairah, said: "We are pleased to have been at the forefront for arranging PoJ's debut financing facility and to have successfully closed the syndication." A total of 13 banks participated in the syndication, with Abu Dhabi Commercial Bank, Arab African International Bank, Arab Bank, Bank Muscat, Lloyds Bank TSB and Union National Bank acting as senior lead arrangers. Abu Dhabi Investment Company and the United Arab were lead arrangers and the Bank of Baroda, Bank Sohar and First Gulf Bank were arrangers.
The port's General Manager Captain Mousa Morad, said: "We are grateful to the support extended by our banking partners to enable us to continue with realising our growth objectives.
"The proceeds of this facility will be utilised by the port for a major infrastructure expansion, which will benefit the emirate for many years to come. Banks recognise the intrinsic merits of the expansion plan and the benefits that will flow from it."
Fujairah Port, which was established in 1984, is a wholly-owned government entity and is operated by DP World. It is location on the UAE's eastern seaboard and being just 70 nautical miles from the Strait of Hormuz has helped it gain international importance as a trade link between the Indian Subcontinent, the Far East, the Middle East and Europe.
One of the port's recent development projects was completed at the end of 2002 with the dredging of the entrance and the inner basin to 15 metres, the completion of an additional 600m of main quay, the creation of an additional paved area with storage for up to 30,000 TEUs and the provision of a state-of-the art bulk loader to cater to the emirate's growing aggregate export market.
Additional development completed in early 2005 included construction of an additional 720 metres of tanker berth quays along the northern breakwater.
The port handles all types of business including bulk cargo, general cargo, oil and other commodities, as well as providing marine services.
The facilities will be expanded further to alleviate existing capacity shortages at the terminal and cater for anticipated growth over the next 25 years.
Currently, the port is not using its container loading facilities and DP World, which currently leases the quay and cranes, has expressed a wish to unload larger vessels and handle more containers.
The Fujairah-based port and terminal operator has signed a syndicated facility with the National Bank of Fujairah as the initial mandated lead arranger and the Commercial Bank of Dubai as mandated lead arranger. The facility was fully underwritten by both banks and was heavily oversubscribed.
The growth of the firm has until now been financed by internal cash generation according to the daily Emirates Business.
"The fact that the syndication loan was heavily oversubscribed is a testimony to our overall strength," said Chairman Sheikh Saleh bin Mohammed Al Sharqi.
"We have clearly defined our expansion plans and their objectives, which will benefit not only the port but also the commercial support services in Fujairah and the rest of the UAE."
Steve Mullins, Chief Executive Officer of the National Bank of Fujairah, said: "We are pleased to have been at the forefront for arranging PoJ's debut financing facility and to have successfully closed the syndication." A total of 13 banks participated in the syndication, with Abu Dhabi Commercial Bank, Arab African International Bank, Arab Bank, Bank Muscat, Lloyds Bank TSB and Union National Bank acting as senior lead arrangers. Abu Dhabi Investment Company and the United Arab were lead arrangers and the Bank of Baroda, Bank Sohar and First Gulf Bank were arrangers.
The port's General Manager Captain Mousa Morad, said: "We are grateful to the support extended by our banking partners to enable us to continue with realising our growth objectives.
"The proceeds of this facility will be utilised by the port for a major infrastructure expansion, which will benefit the emirate for many years to come. Banks recognise the intrinsic merits of the expansion plan and the benefits that will flow from it."
Fujairah Port, which was established in 1984, is a wholly-owned government entity and is operated by DP World. It is location on the UAE's eastern seaboard and being just 70 nautical miles from the Strait of Hormuz has helped it gain international importance as a trade link between the Indian Subcontinent, the Far East, the Middle East and Europe.
One of the port's recent development projects was completed at the end of 2002 with the dredging of the entrance and the inner basin to 15 metres, the completion of an additional 600m of main quay, the creation of an additional paved area with storage for up to 30,000 TEUs and the provision of a state-of-the art bulk loader to cater to the emirate's growing aggregate export market.
Additional development completed in early 2005 included construction of an additional 720 metres of tanker berth quays along the northern breakwater.
The port handles all types of business including bulk cargo, general cargo, oil and other commodities, as well as providing marine services.
The facilities will be expanded further to alleviate existing capacity shortages at the terminal and cater for anticipated growth over the next 25 years.
Currently, the port is not using its container loading facilities and DP World, which currently leases the quay and cranes, has expressed a wish to unload larger vessels and handle more containers.
