New Zealand port operator Lyttelton Port Company will invest NZ$821m ($482m) in a deepwater wharf and container terminal at Te Awaparahi Bay near Christchurch, lifting annual berth capacity to about 850,000 TEU, according to Lyttelton Port Company.
The project will add a 388-metre deepwater wharf, a five-hectare container terminal, four ship-to-shore cranes and semi-automated gantry yard cranes. Completion is expected by 2031.
Christchurch City Holdings Limited approved the investment after examining the project's strategic need, business case and funding. CCHL will provide about NZ$300m ($176m) in equity, with LPC funding the balance through debt.
The transaction required shareholder consideration because its value exceeds 50% of LPC's total assets. Ageing infrastructure is a key driver of the expansion. Cashin Quay 3 and 4, which together provide one container vessel berth, were damaged in the 2010 and 2011 Canterbury earthquakes and subsequently repaired. LPC said rebuilding those berths to modern standards would take at least three years and significantly disrupt container operations.
“Building the Te Awaparahi Bay expansion removes the need to rebuild these wharves and allows the Port to continue operating at full capacity,” chief executive Graeme Sumner said.
The project will not require reclamation beyond work already under way at Te Awaparahi Bay, which is due to finish in early 2027. LPC said it does not expect to use its remaining reclamation consent before the 2040s, if at all. The company has the resource consents required for the development. The terminal will use semi-automated equipment as LPC seeks to handle more containers within the available land area.
Lyttelton Port Company operates New Zealand's largest South Island port. Christchurch City Holdings Limited is the investment arm of Christchurch City Council and the 100% owner of Lyttelton Port Company.