ICTSI to double capacity in Congo

MANILA, Philippines — International Container Terminal Services Inc. (ICTSI) is allocating $100 million for the second phase expansion of subsidiary Matadi Gateway Terminal (MGT) in the Democratic Republic of the Congo.

The expansion, which will commence next year, is expected to double the terminal’s yard area to 10.5 hectares and increase the quay from 375 meters to over 500 meters.

ICTSI said the second phase development represents the group’s efforts to strengthen MGT’s position as Congo’s most efficient and cost-competitive gateway and promote even lower shipping rates in the region.

“The expansion of MGT is aligned with actual and projected container growth rates for the DRC, and corresponds with cargo owner and shipping line requirements for the medium term,” ICTSI senior vice president and regional head of Europe, the Middle East and Africa Hans Ole Madsen said.

“The market is seeing positive growth albeit off a relatively low base in terms of total demand.  Studies suggest that DRC will achieve emerging market country status within the next 10 years and as such, we are very confident that this nearly $100-million expansion plan anticipates the market’s requirements over this period and will deliver unrivaled efficiencies,” Madsen said.

In 2014, ICTSI entered a joint venture agreement with La Société De Gestion Immobilière Lengo (Simobile) to develop a container and general cargo terminal along the river bank of the Congo River at Mbengu Matadi.

ICTSI and Simobile formed a joint venture company called MGT to operate and manage the facility.

Matadi has the natural advantage of being the closest port to the capital Kinshasa, offering the lowest inland transport cost that greatly benefit cargo owners.

ICTSI said it is working with relevant authorities to enhance the rail service between Matadi and Kinshasa, the only direct rail link in the country between a seaport gateway and the capital city.

The company said new rolling equipment would be introduced to enhance MGT’s market position.

A third phase development of MGT is also in the pipeline which will allow access for the larger WAFMAX vessels that will require a deeper draft of 14 meters.

ICTSI has port operations all over the world. It currently develops, manages, and operates container terminals in 19 countries across six continents.