SCZONE and Suez Steel Ink with initials a $120m Concession Agreement for the Operation of Dry Bulk Terminal at Adabiya Port

Mr. Waleid Gamal El-Dien, Chairman of the General Authority for the Suez Canal Economic Zone (SCZONE), has signed with initials an agreement with Mr. Rafik Boulos Doss, Vice President and Managing Director of Suez Steel Company S.A.E. Under this agreement, SCZONE grants Suez Steel a concession area within Adabiya Port, spanning 30,000 square meters and involving an investment of $120 million. This endeavor includes the operation and maintenance of Berths 4 and 5, which stretch over 650 meters in length with a depth of 17 meters. The agreement also encompasses the utilization of a storage and handling yard for dry bulk goods, as well as inputs and outputs for iron and steel industries, along with the eventual handover of the concession area. The signing ceremony was attended by key officials from the SCZONE and Suez Steel Company.

“SCZONE is committed to maximizing the utilization of its ports and industrial zones, leveraging the unique strategic location of its ports on the Red and Mediterranean Seas. This aligns with the goal of achieving integration between ports, industrial zones, and logistics areas to support global supply chains across various sectors. Our collaboration with prominent economic partners, both locally and globally—including 15 industrial developers and 5 international port operators—facilitates the exchange of expertise, adds value to the zone’s world-class infrastructure, and generates numerous job opportunities for Egyptian youth. Adabiya Port serves as a key gateway at the southern entrance of the Suez Canal, connecting Asia and Africa. As one of Egypt’s leading ports for handling dry and liquid bulk cargo, it plays a pivotal role in advancing Egypt’s Vision 2030 to position Egyptian ports as global hubs for trade and transit, thereby boosting exports and driving economic growth,” stated SCZONE Chairman.

“We are delighted to collaborate with the Suez Canal Economic Zone to achieve significant economic milestones for both parties. It is worth noting that the expected annual cargo handling volume under this agreement will reach 5 million tons/year of dry bulk in the first phase, with a projected gradual increase to 10 million tons annually within five years. This growth will support various industrial sectors, as the steel industry is a cornerstone for industries such as automotive, energy projects, and others. The planned increase in handling capacity will bolster the activities of Adabiya Port, elevating it to the ranks of leading ports on the Red Sea,” remarked the Vice President of Suez Steel Company.

It is noteworthy that Adabiya Port is among the most significant ports in the Red Sea region for handling dry and liquid bulk cargo, with an annual average of 7 million tons. The port is undergoing significant upgrades to enhance its berthing facilities, including a first-phase development of 1,200 meters of berths to accommodate vessels with capacities of up to 150,000 tons, lengths of 300 meters, and a draft of 17 meters. Additionally, the port is being equipped to handle oversized and heavy cargo, requiring specialized measures for reception, storage, and transportation.