Yilport Holding secures 50-year concession for Ecuador’s Puerto Bolívar and commits to invest usd 750 million in the port
Yildirim Group’s subsidiary Yilport Holding secured the rights to Puerto Bolívar Port in Machala City, Ecuador. In the 50-year concession, Yilport committed to invest USD 750 million in the port. The concession agreement was signed on 8 August inside Puerto Bolívar. More than 1000 people attended the signing ceremony. The deal marks the largest ever Turkish investment in Ecuador. Yilport Holding commits to invest USD 750 million in 5 phases for the development and modernization of the port, creating Latin America’s largest container terminal with 2,500,000 TEU annual container handling capacity.
Yilport Holding added the 21st port to its global portfolio in its drive towards being ranked among top 10 international port operators by 2025. The signing ceremony took place on 8 August in Puerto Bolívar port in Machala, Ecuador, attended by President of Ecuador Rafael Correa, Minister of Transport Walter Solis, and an audience of more than 1000 people. Yilport Holding Chairman Robert Yuksel Yildirim, President Correa, and Minister Solis gave their speeches before signing the concession agreement. The deal entitled Yilport 50-year operational rights of Puerto Bolívar.
An efficient instance of public-private partnership, this concession deal also marks the investment record by a Turkish entity in Ecuador. Yilport Holding will transfer its global expertise from 21 terminal operations around 8 countries into Puerto Bolívar as the agreement goes into effect. Puerto Bolívar will deliver superior service above international standards, and will be transformed into the largest container terminal in Latin America.
Puerto Bolívar port is one of the world’s largest shipment points for fruits and seafood. Yilport will invest a total of USD 750 million for the expansion and modernization of the port. Development program will be completed in 5 phases. Initially, Yilport will invest USD 230 million in the first phase, which will span 3 years. The dredging work will deepen the draft from 10 meters to firstly 14 meters, and then to 17 meters. A new, 450-meter long quay will be built. The terminal will be equipped with modern infrastructure and cranes. Consequently, the largest container ships of the world will berth and receive services at Puerto Bolívar. Upon completion of 5 investment phases, the annual container handling capacity will reach 2.5 million TEU. Eventually, the port will become the largest and the most advanced state-of-the-art container terminal on the Pacific coast of Latin America. Puerto Bolívar will boost the foreign trade volume of Ecuador, and will constitute a strategic role in the global network of Yilport Holding.
At the outset, Yilport won the tender for Puerto Bolívar in 2015. The preliminary agreement was signed in the presences of President of Turkey Recep Tayyip Erdogan and President of Ecuador Rafael Correa, coinciding with President Erdogan’s state visit to Ecuador in February 2016.
The handover process commenced following the signature on 8 August, to conclude in 90 days.