Saudi Global Ports has agreed a deal to help double Riyadh Dry Port’s handling capacity to 1.5 million containers a year by 2030, it has been announced.
The Public Investment Fund-backed SGP will work with the Saudi Railway Company to improve connections between the dry port and Dammam Seaport, where it operates the first and second container terminals.
SGP will seek to grow the dry port’s rail freight activities, as well as pushing ahead with a modernization program to upgrade civil infrastructure and facilities, procure new equipment and invest in technologies — such as automation and a unified digital platform.
SGP is operated by PSA International, which also has operations in Singapore and Antwerp.
SGP Chairman Abdulla Al Zamil said the agreement is a “significant milestone” for the company as it seeks to grow beyond ports to become “an integrated cargo solutions provider.”
He added: “With the support of Saudi Railway Company, we will work towards a quick and smooth transition and thereafter streamline the supply chain landscape for more efficient cargo movement between Dammam and Riyadh.”
The agreement was reached following a public private partnership tender process under the authority of the Kingdom’s Privatization Supervisory Committee.
It was signed during the inaugural Saudi-Singapore Joint Committee held in Riyadh on Dec. 7.
