Portuguese government on Thursday announced an investment of 547 million euros in the expansion of the Port of Sines in the southwest of the country and an agreement to extend its concession from 2029 to 2049, Trend reports citing Xinhua.

The agreement was reached on Wednesday between Portugal and PSA Singapore for the completion of the 3rd phase of expansion of Terminal XXI, so as to greatly increase its capacity and give another 20 years of operations in Portugal to PSA Singapore.

The Sines port, 58 nautical miles south of Lisbon, is one of the major European ports and the great hub port of the Iberian-Atlantic front.

Another important step was taken in the implementation of the Portuguese "Strategy to Increase the Competitiveness of the Network of Commercial Ports of the Continent - Horizon 2026", said a press release published on website of Administration of Port of Sines.

This deal represents a total investment of 547 million euros, totally private, to be carried out over the term of the concession agreement, which includes not only the expansion of the mooring berth and its associated handling equipment, but also the maintenance, replacement and renovation of equipment already installed in the previous phases, said the release.

With these investments, Terminal XXI will offer a dock front of 1,950 meters in order to allow the simultaneous mooring of four latest generation container ships. Meanwhile, the storage area will increase from the current 42 hectares to 60 hectares, upgrading installed capacity from the current 2.3 million TEU to 4.1 million, the release added.

Another nine "super post-Panamax" cranes, 30 park porches and conveyors, will also be installed under the agreement.

This agreement will strengthen job creation, contributing to the socio-economic development of the region and the country, it noted.

In addition to the expansion of Terminal XXI, the Portuguese government also intends to launch the international public tender for the future Vasco da Gama Terminal, also in Sines, and will mainly call on the 600-million-euro investment of Chinese port operators Shanghai International Port Group, Portuguese media Denheiro Vivo reported on Thursday on its website.

With the expansion of the structure managed by PSA Sines and with the new terminal, the capacity of the Sines port could increase to 7.8 million TEUs, said the report. (one euro currently equals to 1.12 U.S. dollars)

Source: TREND News Agency