The partnership will also focus on the development and implementation of freight delivery and port processing technologies, as well as the development and promotion of the Asia-Pacific Economic Cooperation (APEC) and Russian Far East transportation corridors, including the free ports of Vladivostok and Zarubino. The partners will leverage their international experience and exchange best practice in port management, including the efficient operation of free ports.

Summa has long been looking for partners/co-investors to realise its ambitious Far Eastern projects, specifically the would be Zarubino mega port and the Sever coal terminal at  Vostochny. Last year, Summa reportedly hired Goldman Sachs, Morgan Stanley and Russia’s VTB Capital to find co-investors.

 
DP World and the Russian Direct Investment Fund (RDIF) earlier set up the DP World Russia (DPWR) joint venture (80% and 20%, respectively), targeting ports, transport and  logistics infrastructure (WorldCargo News, January 2016, p8). Shortly afterwards, Delo Group signed an agreement with DP World regarding the NUTEP container terminal in  Novorossiysk (WorldCargo News, March 2016, p33-34).

Summa’s assets include Novorossiysk Commercial Sea Port, but, according to some reports, DP World is specifically interested in acquiring a minority stake in the Zarubino project. This would mark its return to the Russian Far East port range after a gap of four years – it sold its 25% stake (inherited from CSX World Terminals) in Vostochny container  terminal to Global Ports in 2012.

DPWR had earlier declared its willingness to invest up to US$2B in Russian port projects.

In a separate development in Central Asia, DP World has entered into an advisory agreement with the Azerbaijan Ministry of Economy and the Port of Baku, to develop a framework  for the Alyat Free Trade Zone in Azerbaijan, on the Caspian Sea. The future business hub is planned to become part of a network of economic zones in the country, to develop the  economy and to form part of the Eurasian trade corridor. 

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This complete item is approximately 300 words in length, and appeared in the September 2016 issue of WorldCargo News, on page 14. To access this issue download the PDF here.