AD Ports Group has signed several agreements with Unicargas and Multiparques leading to securing a 20-year concession agreement (extendable for another 10 years) with the Luanda Port Authority for the operation and upgrade of the existing Luanda multipurpose port terminal in Angola, according to the company's release.
The agreements with Unicargas and Multiparques, well-known logistics and transport companies in the country, saw the Group acquire an 81% stake in a joint venture that will operate the terminal, and a 90% stake in another joint venture that will serve the facility and the broader Angolan logistics market.
AD Ports Group has committed USD 251 million towards the modernisation of the terminal and development of the logistics business over the next three years (2024-2026), with this investment potentially increasing to USD 379 million over the concession term and in line with market demand.
The Port of Luanda plays an important role in Angola’s domestic economy by handling more than 76% of the country’s container and general cargo volumes. It is well situated to capture the anticipated growth in the country’s container volumes, which are projected to rise at an average annual rate of 3.3% over the next decade. In addition, it serves as one of the main transhipment hubs for Central-West Africa by enabling maritime trade access to land-locked countries, including the Democratic Republic of Congo and Zambia.
Under the terms of the terminal concession agreement, the joint venture will significantly upgrade the existing multipurpose facility to a container and Ro-Ro terminal, encompassing an enlarged concession area (178,000 sqm to 192,000 sqm); an upgraded quay wall; additional ship-to-shore cranes, gantry cranes and other state-of-the-art equipment; expanded draft (9.5 metres to 16 metres); and, modernised IT systems.
Redevelopment of the terminal is expected to be completed in Q3 2026, ultimately boosting its container handling volumes from 25,000 TEUs to 350,000 TEUs, and Ro-Ro volumes to over 40,000 vehicles. During the 3-year redevelopment, the terminal’s container volumes will be handled at a nearby berth, while excess volumes will be moved to Multiparques’ Viana inland container depot (ICD), thereby minimising any impact to customers.
Furthermore, the Group’s other joint venture with Unicargas will provide integrated logistics and freight forwarding services for local, regional and international clients. The business, to be operated by Noatum Logistics, part of AD Ports Group, will manage the movement of containers to Viana ICD and offer short and long-haul transport within Angola and to the neighbouring countries, leveraging Noatum’s broad global expertise, infrastructure and logistics networks combined with the knowledge, capacities and assets of the local Unicargas team.
Specifically, Noatum will assume management and operations of Unicargas’ existing fleet of trucks and different logistics sites located across the country. In addition, it will boost the business’ capacity by investing in new machinery, reefer and flat-bed trucks and upgrading its IT systems to plug in seamlessly across Noatum Logistics’ digital ecosystem - thereby providing for full end-to-end supply chain visibility and enhanced operational efficiency.
In addition, AD Ports Group is also exploring opportunities to support Angola’s offshore industry and other maritime sectors, through its Maritime & Shipping Cluster, and deploy assets such as work accommodation vessels, passenger ferries, platform supply vessels, and other maritime craft and infrastructure.
With a population of 34.5 million, growing at a rate of 3.2%, and a GDP of USD 74 billion, the Republic of Angola is considered the sixth largest economy in sub-Saharan Africa and a sizable domestic market also requiring meaningful gateway cargo volumes.