Suape Port Sugar Terminal

active

In 2008, the company Agrovia (controlled by the UK trading company ED&F Mann with 50% of the shares and by the Brazilian equity funds BRZ Investimentos, Pampa Capital and Angra Partners) won in a competitive bidding the right to build, lease and operate a sugar terminal at the Suape Port (state of Pernambuco). The facility was set to have an initial handling capacity of 200,000 tons/year, and, by 2038, the capacity was expected to reach 738,000 tons/year. It was estimated that the revenues raised in the terminal would represent 5% of the port's total revenues. The bidding criteria and the other details of the bidding process were not available. The 25-year contract was signed in April 2012, and the sponsors created the special purpose company Agrovia do Nordeste to manage the project. The investment was estimated at US$ 63.7 million (BRL 150 million) in construction the terminal. In December 2013, the Brazilian company Odebrecht reached an agreement with Agrovia to undertake 75% of the shares of the project company. Agrovia remained with a 25% stake. Construction works commenced in March 2016, and commercial operations started in October 2016.