Foreign firms may handle Gwadar port

Published February 25, 2006

ISLAMABAD, Feb 24: The government has contacted several international companies to independently operate the Gwadar deep sea port after its completion by June this year. Official sources told Dawn on Friday that Prime Minister Shaukat Aziz would chair a meeting of the Gwadar Policy ‘Board on Saturday to review the progress of work on port. The minister for ports and shipping, the chief minister of Balochistan and senior officials will attend the meeting.

A number of international companies, including one from China, have expressed their willingness to operate the port. “The port is almost complete and will be commissioned by June 30 this year,” a senior official said.

The Saturday meeting, he said, would take into account some difficulties currently being faced by the provincial government as well as the Gwadar port authority to commission it at the earliest.

Sources said that the government had given additional $50 million to the ministry of communications to complete the much needed first phase of the port at an upwardly revised cost of $298 million.

The additional funding has been provided to urgently install the required equipment, complete the civil works and build roads linking the port with Quetta and other upcoming areas.

However, sources said the government has decided “not” to allow construction of the second phase of port unless its first phase was completed, which was originally to be competed in April 2005 at a cost of $248 million.

The Chinese side has completed its work while the local authorities completed the development of infrastructure including the building of a road from Gwadar to Karachi.

Sources said the second phase of the project will be undertaken, hopefully later this year at a cost of $865 million. It will be completed by 2010.

Phase-2 will be executed by the private sector to accommodate 50,000 DWT container ships, 100,000 DWT dry bulk carriers and upto 200,000 DWT oil tanker, three container terminals (2010m length), one bulk cargo terminal (305m length), one grain handling terminal (305m length), one twin pier oil terminal (688m length), breakwater (600m length), approach channel (16.0/20.0m deep), back up areas, craft & equipment and building, etc.

Phase-1 was being built by the public sector with the Chinese assistance and included three multipurpose berths (602m quay length, one service berth (100m length), 4.35 km navigable channel (11.6/12.5m deep), roads, plinths & transit shed, operational craft and equipment including navigational aids and shore based port buildings and allied facilities.

Sources said that completion of phase-2 will help meet strategic needs and standby facility to Port Qasim and Karachi Port in case of emergencies. The construction of phase-2 will be completed on the basis of Built Operate Own (BOO) and Built Operate Transfer (BOT) basis. “However, if the private sector does not respond favourably, public sector financing will be required to develop phase-2 of the port,” a source said.

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