APM Terminals offers Virginia multi billion dollar port deal

Thursday, 24 May 2012 10:13

APM Terminals, a global leader in port operations, has submitted a proposal to the Commonwealth of Virginia for a strategic partnership with the Port of Virginia.

APM Terminals is offering to operate all Port of Virginia facilities in Hampton Roads and related inland locations under a long-term concession agreement with the Virginia Port Authority (VPA). Under the terms of the proposal, APM Terminals will transfer ownership of its state-of-the art facility in Portsmouth to the Commonwealth. APM Terminals will also pay concession fees, make significant additional capital investments, and provide a share of the operations’ revenue to the VPA. The value of the proposal to the Commonwealth is between $3 billion and $4 billion.

“We are excited about this proposed next step in our relationship with the Commonwealth of Virginia and the Virginia Port Authority,” said Eric Sisco, APM Terminals Americas Region President. “Our commitment to Hampton Roads has been long and substantial. We have operated in the port for over 30 years, and the $540 million we spent to build our Portsmouth facility represents one of the largest private investments ever made in the Commonwealth. Our proposal provides for world class port operations and the lowest cost, best long term solution for the Commonwealth’s goal to make Hampton Roads the premier port facility now and in the future.”

Source: APM Terminals