IFC provides $80m for Salvador port expansion
IFC, a member of the World Bank Group, provided US$80 million for the expansion of the Tecon Salvador container terminal in the Port of Salvador in Northeast Brazil to address capacity constraints and prepare for an expected trade increase, reported Plus News Pakistan.
IFC structured and arranged the $80 million long-term financing package for Tecon Salvador, the terminal operator. IFC is providing $30 million from its own account and mobilising $50 million from DnB Nor Bank and Cordiant through its syndication programme.
Tecon Salvador is a subsidiary of Wilson, Sons, one of Brazil’s largest providers of integrated port and maritime logistics and supply chain solutions.
"Expansion work started last year and is progressing according to schedule," said Felipe Gutterres, Wilson, Sons' chief financial officer. "Containerised trade in Brazil is expected to continue to grow at very healthy rates and Tecon Salvador will be in a good position to take advantage of this growth.”
The expansion will double the terminal’s capacity and includes quay reinforcement, retro-area paving, dredging, and the purchase of new equipment.
Once the expansion is completed in March 2012, the terminal will have two quays of 377m and 210m respectively, and a total area of 118,000 sq m.
Tecon Salvador now operates at capacity, having handled 262,000 TEUs in 2010. Current capacity constraints at the port mean goods produced in Bahia must be exported from the port of Santos, about 2,000 km south of the Salvador terminal.
IFC structured and arranged the $80 million long-term financing package for Tecon Salvador, the terminal operator. IFC is providing $30 million from its own account and mobilising $50 million from DnB Nor Bank and Cordiant through its syndication programme.
Tecon Salvador is a subsidiary of Wilson, Sons, one of Brazil’s largest providers of integrated port and maritime logistics and supply chain solutions.
"Expansion work started last year and is progressing according to schedule," said Felipe Gutterres, Wilson, Sons' chief financial officer. "Containerised trade in Brazil is expected to continue to grow at very healthy rates and Tecon Salvador will be in a good position to take advantage of this growth.”
The expansion will double the terminal’s capacity and includes quay reinforcement, retro-area paving, dredging, and the purchase of new equipment.
Once the expansion is completed in March 2012, the terminal will have two quays of 377m and 210m respectively, and a total area of 118,000 sq m.
Tecon Salvador now operates at capacity, having handled 262,000 TEUs in 2010. Current capacity constraints at the port mean goods produced in Bahia must be exported from the port of Santos, about 2,000 km south of the Salvador terminal.