PSA International Keeps Up with Expanding Panama Canal

Business & Finance

Singapore-based port operator PSA International has through its Panamanian subsidiary started a USD 400 million expansion of its container terminal located on the west bank of the Panama Canal Pacific.

The expansion will increase the capacity of the terminal from 450,000 to 2 million TEUs per year.

The investment into civil works amounts to USD 285 million, while the value of equipment will be over USD 125 million.

“In the past two years we have worked closely with the authorities representing the Panamanian State on the design and development of the expansion of our container terminal with the purpose of having state-of-the-art infrastructure ready to serve container vessels with a capacity of up to 18,000 TEUs,” Alessandro Cassinelli, General Manager of PSA Panama, said.

The new terminal will have 11 quay cranes with a maximum outreach of 24 rows and over 1.1 km of berth.

In addition to the 8 quay cranes, the terminal will feature 12 rail-mounted gantry cranes (RMGs), 9 rubber-tyred gantry cranes (RTGs), 52 prime movers and 3 empty container handlers.

The expansion is targeted to be ready for operations before the end of 2016, in conjunction with the commercial opening of the expanded Panama Canal.

“When the enlarged Panama Canal opens, vessels of up to 12,500 TEUs will ply the Asia-US East Coast routes and be able to use Panama’s Pacific coast as a transhipment hub for the West Coast of South and Central America,” Enno Koll, PSA’s Head of Latin America, said.

”Vessels of 4,000 TEUs can then serve Ecuador, Peru and Chile, Guatemala and Costa Rica on a weekly schedule via Panama. This allows shipping lines to benefit from economies of scale in operating across the Pacific and along the South American Coast. PSA Panama will provide sufficient capacity to allow lines to build a hub strategy.”

Image: A&D