Novorossiysk Commercial Sea Port to invest RUB 108.4 billion in development till 2029
Development programme of Novorossiysk Commercial Sea Port (NCSP) foresees RUB 108.4 billion of investments till 2029. According to the presentation published by Transneft, NCSP Group’s development strategy approved by NCSP BoD on 31 December 2019, RUB 63.3 billion will be invested in reconstruction and modernization of the existing facilities with RUB 45.1 billion to be allocated for business projects.
Capacity growth foreseen by the investment programme is up to 21.8 million tonnes. Investments into maintaining capacities to average RUB 6 billion a year.
Among the major projects are container terminal at the port of Novorossiysk, mineral fertilizers terminal, dry bulk and general cargoes terminal (on the territory of JSC Novorossiysk Shiprepair Yard) and vegetable oils terminal.
The investment programme is expected to ensure stable positive NPV of projects in sensitivity analysis, IRR on projects of over 19%, the Group’s revenue CAGR of over 6% per year till 2029.
NCSP Group is the largest port operator in Russia by cargo turnover. Its controlling shareholder (62%) is PJSC Transneft. NCSP Group is traded on Moscow Exchange (NMTP) and London Stock Exchange as global depositary receipts (NCSP). NCSP Group's cargo turnover for Q1 2019 amounted to 71.75 million tons. The Group's consolidated revenue as per IFRS totaled USD 951 million in 2018. NCSP Group is comprised of PJSC Novorossiysk Commercial Sea Port, Primorsk Trade Port LLC, JSC Novorossiysk Ship Repair Yard, JSC NCSP Fleet, JSC NLE, IPP LLC, NCS LLC, Baltic Stevedore Company LLC, and JSC SFP.