Singapore firm to build terminal at Gwadar

[LRE]

KARACHI: The government has given a green light to the Port of Singapore Authority (PSA) to construct a Multipurpose Terminal for ore and coal berths at the Gwadar Port, with an estimated cost of $130 million, it is learnt.

The authority has started work on the project, as officials of the authority are preparing results for channel testing being done recently. Soil survey and testing will likely to be completed in around two months.

The design and construction of the berths, likely to take two-three years, will be undertaken once the initial work is completed, sources said.

These berths will boost minerals export and help generate more revenue for the country. It will also help develop Balochistan, which has large mineral reserves.

Gwadar will serve as the most feasible port for exports, as compared to other ports of the country due to its strategic location and the lack of traffic congestion.

Earlier, Tethyan Copper Company was awarded exploration licence of the Reko Dig copper mine and once these projects start their operations, not only the port will get a boost, but the people of the area will get employment, said an official.

Experts are of the opinion that the fate of Gwadar Port will dwindle until or unless major issues, such as connectivity of the Gwadar Port to other parts of the country, release of land under the possession of Pakistan Navy and coast guards, construction of roads and infrastructure are not resolved.

“Sixty per cent work on the Gwadar-Ratodero road has been completed, but structural work is still in progress. Work on other link roads are also under progress, including Link road N-85 that connects Gwadar to Panjgur, said National Highway Authority official.

Poor law and order in the province remains the main reason for delay in linking the port with other parts of the country, sources said, adding that the highway authority has diverted funds to other projects. It seems that the Gwadar-Ratodero project will not complete even during the current year.

Last month, National Assembly and Senate’s standing committees on ports and shipping held a joint session in Gwadar to resolve the issues pertaining to the port operations, said the official.

Under a concession agreement signed with the Port of Singapore in February 2007, the official said, the government had to hand over 923 hectares of land on lease to the Singaporean firm by June 2008 for the development of a free zone, but transfer of land under the possession of Pakistan Navy and the Coast Guards, needed to develop free zone for the facilities at East Bay of Gwadar, has still not been done.

“Without acquisition of this land, the Singaporean firm will be unable to develop offices, residential facilities, etc,” the official said.

However, an official of the Ports and Shipping Ministry said that negotiations are underway with the officials of the Defence Ministry for resolution of the issue and, in this regard, the government has also offered an alternative land to the Navy in Pishukan.

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