Dubai-based port operator DP World has agreed a deal with the Somali state of Puntland to expand and upgrade the port of Bosaso.
The 12-month project will install a 150m quay and repair an existing 215m quay, starting in the new year.
DP World will also add a 3,000-sq-m container yard and a 4,000-sq-m container stripping yard. The gate area to the port will also be upgraded to improve access control.
The upgraded port will be able to handle feeder vessels from Dubai and other regional hubs.
The Puntland government also wants to turn Bosaso into a base for dhow-based transport along the Somali coast.
Ahmed Yaasiin Saalah, Puntland’s minister of ports, said in a press statement: “The expansion and upgrade of the Port of Bosaso is key to Puntland’s economic growth, which will benefit not just the people of the state, but also Somalia and the Horn of Africa.
“It will ensure the region is further integrated into the global trade ecosystem, as a bigger, more efficient port with the ability to receive container vessels, will facilitate increased trade.”
The agreement follows DP’s $1bn expansion of Berbera port and the associated development of an economic corridor into Ethiopia (see further reading).