- DP World Australia and Tasports continue to progress the viability of an international container terminal at the Port of Burnie
- Tasports remain fully committed to the exclusive MoU with DP World Australia
- DP World Australia propose to invest $75m in plant and development
- International container vessels could be handled at Burnie as early as November 2017
- Reducing containerised freight costs to key destinations by over 40 percent
- The terminal will boost international trade and provide access to new markets and greater freight choice for Tasmanian exporters
- 40 new jobs at commencement
- $10m+ injected into North West Tasmanian economy each year
Australia’s largest stevedore, DP World Australia, and the Tasmanian Ports Corporation, Tasports, reconfirmed their commitment for the development of an international container terminal at the Port of Burnie in North West Tasmania.
Tasports and DP World are proposing to provide an initial minimum of $20 million staged investment in new port infrastructure and capacity enhancements for the Terminal. The phased approach will allow large ships access to the Tasmanian market and provide Tasmania exporters with greater choice and access to world markets.
Tasports CEO Paul Weedon welcomed the renewed commitment by DP World Australia to progress plans to develop a full-service international container terminal in Burnie.
Mr Weedon said: "The Port of Burnie is a strategic piece of port infrastructure required for the future of Tasmania.
"Tasports’ 30 Year Port Plan clearly identifies Burnie as the State’s future largest natural gateway for container freight into and out of the State."DP World Australia Managing Director and CEO, Paul Scurrah, said: "We are committed to connecting Tasmania with the world economy.
"Tasmanian exports are set to grow as soon as we can get direct shipping connections to major international ports, and the cities of Sydney, Brisbane and Perth. The project is fantastic news for Burnie, the local economy and its citizens. We are proud to be associated with the town."
DP World Australia Chief Commercial Officer, Brian Gillespie, said allowing greater access to regular international container services would significantly reduce shipping costs for export and import containerised freight.
DP World Australia will recruit a new workforce with 40 new positions required at launch.
There is a firm proposal on the table being negotiated in good faith between the two parties which is commercial in confidence at this point.
Background
In November 2015, DP World Australia and Tasports announced an exclusive arrangement under which the two parties would work together to provide an international container terminal at the Port of Burnie in North West Tasmania.
DP World Australia and Tasports believe this will result in a boost for exports and the economy.
Tasports’ 30 Year Port Plan clearly identified Burnie as the State’s future largest natural gateway for container freight into and out of the State.
The Port of Burnie was chosen as the most suitable location in Tasmania for its deep water port with direct sea access, enabling it to cater for large ships in the decades ahead.
Burnie is also directly connected to an intermodal rail facility which will allow containerised freight to be railed safely and efficiently to Launceston and Hobart.
Once fully developed, the new container terminal is planned to handle the equivalent of 200,000 TEU[1]per annum.
DP World Australia’s investment includes:
- refurbishing the existing ship-to-shore crane
- providing an additional ship-to-shore crane
- developing the container yard for general and refrigerated containers
- integrating the yard with the existing rail terminal
- providing yard container handling equipment.
Source: DP World