Abu Dhabi Ports has signed a Dh500-million ($136 million) agreement to develop the infrastructure of the Port of Fujairah, including deepening of berths, and establishment of quays and storage areas to accommodate growth in cargo traffic.

The agreement, which is supervised by the Ministry of Presidential Affairs, was signed by Ahmed Juma Al Za'abi, deputy minister for presidential affairs and chairman of the Follow-Up Committee of the Initiatives of the UAE President, and Dr Sultan bin Ahmad Sultan Al Jaber, Minister of State and chairman of Abu Dhabi Ports Company (ADPC), reported Emirates news agency Wam.

Al Za’abi said: “The developments launched under the umbrella of the president's initiatives, have significantly contributed to ensuring a quantum leap in the transformational development process in the country. Our wise leadership has always been placing the UAE citizens on top of their priorities, sparing no efforts to launch key infrastructure projects that ensure social welfare and economic wellbeing in the country."

“Port of Fujairah is considered one of the key multi-purpose ports in the UAE and the entire region, playing a significant role in the development drive embraced by the UAE government," he added.

Dr Al Jaber underlined the keenness of the UAE wise leadership on supporting such key projects that underpin the comprehensive developmental drive in the country and contributing to the sustainable and diversified economic model adopted by the government, pointed out that the initiatives of President Sheikh Khalifa bin Zayed Al Nahyan, which are supervised by the Ministry of Presidential Affairs, have reflected positively on all economic, social and cultural sectors in the country for the higher good of the nation and its people.

"Fujairah Port is one of the key economic, commercial and logistics hubs not only in the emirate but in the entire nation on account of its important strategic location overlooking the Pacific Ocean at the crossroads of shipping lines between East and West. The development of the port infrastructure will certainly strengthen the port's positioning in the world maritime transport map and reinforce the country's stature as a key strategic and trade destination,” he added.

Offering an important hub for activities towards the markets of the Indian sub-continent and East of Africa, Port of Fujairah is the only multi-purpose port on the eastern seaboard of the UAE, approximately 70 nautical miles from the Straits of Hormuz. Initial construction of the port started in 1978 as part of the economic development of the UAE. Full operations commenced in 1983.

Since then the port has embarked on a continuing process of enhancement to both its facilities and its comprehensive range of functions to boost its container handling potential to one million and 700,000 tonnes of cargo by 2030.

The port, which is the world’s second-largest bunkering hub, is to boost its container handling potential after ADPC recently signed a 35-year concession to develop container terminal operations there. The concession agreement with the Port of Fujairah grants ADPC exclusive rights to develop port infrastructure and manage its operations.

The development of a 1,000-m quay, a 300,000 sq m storage yard, and deepening of berths to a draft of 16.5 m are envisaged to increase capacity and enable the arrival of larger vessels.