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DP World extends Luanda concession to 2051, unveils $90m terminal expansion

DP World has won a 10-year concession extension at the Port of Luanda's Multipurpose Terminal and committed US$90m to push design capacity to 1.2m TEU and accommodate two Post-Panamax vessels simultaneously.

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DP World wins Luanda concession extension, plans US$90m expansion
DP World wins Luanda concession extension, plans US$90m expansionAI-generated

Key points05

  • DP World secured a 10-year concession extension at Luanda's Multipurpose Terminal, taking the term through 2051
  • Operator has committed US$90m over the next two years to raise design capacity to 1.2m TEU
  • Throughput has nearly doubled since 2021, from 177,000 TEU to more than 350,000 TEU
  • Expansion adds 222m of quay, three STS cranes and 12 semi-automated RTG cranes
  • Mobile harbour crane fleet stands at eight after two new MHCs; reefer plugs lifted from 630 to 700

DP World has committed US$90m over the next two years to expand its Multipurpose Terminal (MPT) at the Port of Luanda, a project that will raise the facility's design capacity to 1.2m TEU and let it berth two Post-Panamax container ships at the same time.

The investment, unveiled at the inauguration of a new terminal building, comes alongside a 10-year concession extension that now runs through 2051. DP World began operating the multipurpose facility in 2021 under the original 20-year concession awarded by Angolan authorities.

What has DP World already delivered at Luanda?

In five years, the terminal operator has spent over US$260m modernising the facility:

  • Annual throughput has nearly doubled, from 177,000 TEU to more than 350,000 TEU
  • Yard space has grown by 28,000m²
  • The mobile harbour crane (MHC) fleet now stands at eight after the addition of two new MHCs this year
  • An empty handler has been added
  • Reefer plugs have climbed from 630 to 700

The new terminal building was inaugurated at the same ceremony where the next-phase capex was announced.

What does the $90m expansion include?

The committed capex will:

  • Lengthen the quay by 222m
  • Add 10 hectares of operating area
  • Lift design capacity to 1.2m TEU
  • Fund three new ship-to-shore (STS) cranes
  • Fund 12 semi-automated RTG cranes
  • Enable two Post-Panamax vessels to work simultaneously

DP World describes the combined uplift as a positioning move to make Luanda "a leading container gateway for Central Africa and a major trade hub in sub-Saharan Africa."

Why does the 2051 concession matter commercially?

A concession that now stretches nearly three decades from the original 2021 start gives DP World the amortisation runway needed to justify STS crane outlays and quay civil works. For liner operators weighing direct calls at Luanda, the longer tenure reduces counterparty risk on long-term service contracts and equipment funding.

For shippers and forwarders serving Angola's oil, mining and consumer markets, the larger vessel envelope translates into more direct sailings and fewer transhipment routings via West African hubs. Higher reefer plug counts also matter for Angola's perishable export trades, particularly fish and horticultural cargoes moving to Europe.

Mohammed Akoojee, CEO and Managing Director, Africa at DP World, put the commercial case in service terms: "The expansion of DP World Luanda is an important milestone both for Angola and for the wider region. The ability to handle larger vessels will support new shipping services and strengthen the terminal's potential as a gateway for West and Central Africa." He added that customers will see "greater reliability, shorter turnaround times and improved access to global markets."

Paco Pinzon, CEO of DP World Luanda, anchored the announcement to national trade policy. "Having our concession extended to 2051 demonstrates our long-term commitment to Angola and its future as a leading regional trade gateway," Pinzon said. "The expansion will benefit the entire logistics ecosystem, and we will continue to create opportunities, strengthen regional connectivity and contribute to sustainable economic growth in Angola."

What are the operational dependencies?

The throughput gains rest on a tightly sequenced construction programme. The 222m quay extension must be finished before the three new STS cranes and 12 semi-automated RTGs can be commissioned for tandem Post-Panamax working. Yard automation through RTGs will also require training cycles for terminal staff accustomed to the existing MHC-based handling pattern.

DP World has not disclosed the exact commissioning timeline within the two-year capex window, but the order book of three STS cranes and 12 RTGs suggests the operator is targeting the back end of the investment period for full activation of the 1.2m TEU design capacity.

With the 2051 concession secured and $90m of new equipment and quay works committed, DP World has signalled it intends to convert Luanda from a multipurpose stop into a Post-Panamax-ready container gateway on the South Atlantic within the next 24 months.

Source: WorldCargo News

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Market editor covering consumer brands and retail at Waybill Wire.

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