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China Merchants buys into Togo terminal operator

China Merchants buys into Togo terminal operator
Lome: Continuing the march of Chinese companies into the dark continent, China Merchants Holdings has bought a 50% stake in Thesar Maritime Limited (TML), which owns a 35-year plus 10-year option concession to develop and operate the Lome Container Terminal (LCT) in Lome, Togo's key import and export channel.

The terminal will have  four berths on a 1,050-metre quayline and with a yard area of 53 hectares. The planned maximum annual capacity of LCT is 2.2m teu.

LCT, Togo's only container terminal and a deep-water terminal in the Gulf of Guinea, is expected to be the first completed in the West African region and is set to have first mover advantage as the top transhipment hub servicing the region. Container volume growth for the West Africa rgion grew, on a compound average basis, 10.3% pa for the past 15 years. Construction of LCT will be undertaken in phases, with the first 400m of quayline expected to be ready for operation by December 2013.

In addition, TML's parent has a relationship with MSC, which has agreed, under a terminal service agreement signed between MSC and LCT, to use LCT's service for 15 years from the terminal's inauguration. 

China Merchants has made good progress with its investment in Tin-can Island Container Terminal in Lagos, Nigeria which has delivered satisfactory results, it is continuing its positioning in container terminal investment in the promising African market, the company said.