Qasim Grain and Fertilizer Terminal

Active

Fauji Akbar Portia Marine Terminals (Pvt) Ltd – a 50/50 equity joint venture between the Fauji Foundation and Akbar Group – signed an Implementation Agreement with Port Qasim Authority (PQA) to develop a dry bulk terminal at Port Qasim, near Karachi, on Sep. 3, 2007. Under the Implementation Agreement, FAP was to build the greenfield terminal and operate it for 30 years on a build, operate and transfer (BOT) basis. Qasim Grain and Fertilizer Terminal was the first dry bulk cargo terminal to be developed at Port Qasim. It was designed to handle 4.1 million tons of dry cargo (grain, fertilizer, oil seeds and rice) per year, with a storage capacity of 100,000 tons. The project achieved financial closure on July 18, 2008 with the signing of a financing agreement. This agreement established a US$92 million 10-year, non-recourse loan facility provided by lead adviser and arranger National Bank of Pakistan and co-arranger Bank Alfalah, with a consortium of other banks. China Harbour and Engineering Company was the EPC contractor, Vigan of Belgium and Chief Industries (UK) were the machinery and equipment suppliers. Project implementation was to be overseen by FAP, Portia Management Services (UK), Inros Lackner (Germany) and Indus Associated Consultants (Pakistan) while Nespak acted as technical consultants to Port Qasim Authority. Construction was expected to take 24 months and operations were scheduled to commence in 2010.