Hong Kong: Pacific Basin Shipping subsidiary 'Asia Pacific Maritime & Infrastructure Group' (APMIG) has entered a joint venture with state-owned Nanjing Port Group for joint ownership and operation of Nanjing Longtan Tianyu Terminal. As per the agreement, Pacific Basin will own a 45% stake in the newly constructed $74m general cargo terminal, scheduled to be operational in August 2007.
"We are delighted to be joining forces with such a reputable and experienced partner as the Nanjing Port Group for our first maritime infrastructure project in China," said Pacific Basin ceo Richard Hext. "The Longtan Tianyu terminal is also a great opportunity for us because of Nanjing's position at the highest point on the Yangtze River that is accessible to handysize tonnage, and because of the terminal's intended focus on steel products, scrap and other general cargoes with which we have much experience."
"This is a port operation to which we believe we can add significant value, which fits well with our core business, and which is expected to generate healthy long term returns on our investmen," he added.
Wang Chun Lin, Pacific Basin executive director and APMIG gm, said, "This is a strategically valuable project that gives Pacific Basin a foothold in the China ports business and affords us a broader role in the dry cargo supply chain in an area where our ships trade on a regular basis. This extension of our ocean transportation business to shore-side activities is a significant step amongst general cargo and bulk carrier companies."
"Owing to its favourable location, the Longtan Tianyu terminal is expected to benefit from increasing throughput in the Nanjing region of general cargoes being transported to and from China's rapidly developing central and western regions and the vast Yangtze River Valley. With this joint venture agreement now signed and a number of other opportunities being developed around China, we expect to conclude further maritime-related infrastructure projects in China in the next twelve to eighteen months," Lin concluded. [24/07/07]
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