AD Ports Group Signs Major Dredging Agreement To Expand Karachi Terminals' Trade Capacity

AD Ports Group has announced a significant dredging agreement involving its Karachi Gateway Terminal and Van Oord, a Dutch company specialising in dredging and marine contracting. This initiative aims to enhance trade flow through the Group's port terminals in Pakistan. The project, managed by Noatum Ports, will deepen berths and channels at Karachi Gateway Terminal, allowing larger vessels to dock.

The expansion at Karachi Gateway Terminal will increase container handling capacity from 750,000 TEUs to 1 million TEUs. At the nearby Karachi Gateway Terminal Multipurpose Limited (KGTML), which handles general and bulk cargo, dredging will double bulk vessel capacity from 60,000 to 120,000 tonnes. This will reduce freight costs and boost throughput.

The dredging works are scheduled for completion in the first quarter of 2026. Operations at KGTL and KGTML are joint ventures between AD Ports Group and Kaheel Terminals from Dubai. Mohammed Al Tamimi, CEO of Noatum Ports, stated: "This dredging project is more than a significant infrastructure upgrade to the two Karachi terminals’ commercial versatility, it is a forward-looking investment in the economic resilience and global connectivity of Pakistan."

AD Ports Group entered the Pakistani market in 2023 with long-term concessions for operating container and bulk cargo berths at Karachi Port. The Group is investing nearly AED 1.1 billion (USD 300 million) to modernise port infrastructure and digital systems, supporting trade growth and economic diversification.

Khurram Aziz Khan, CEO of Karachi Gateway Terminal Limited (KGTL) and Karachi Gateway Terminal Multipurpose Limited (KGTML), commented on the project's benefits: "The dredging project will enable us to accommodate larger and deeper draft vessels at both our container and bulk terminals. This advancement will directly benefit our customers, optimising the use of foreign exchange spent on freight and reducing overall logistics costs."

Commitment to Sustainable Development

The project highlights AD Ports Group's dedication to sustainable development, operational efficiency, and long-term value creation for stakeholders. Godfried Van Oord, Area Manager Middle East for Van Oord, expressed pride in being chosen for this upgrade: "Van Oord is proud to be selected by AD Ports Group to realise this significant upgrade to the existing logistic and infrastructure facilities at their Karachi terminals."

This initiative not only modernises Karachi’s port infrastructure but also strengthens Pakistan’s role as a regional trade hub by opening greater access to global markets. It promises positive impacts for customers across Pakistan while supporting national growth over the long term.

With inputs from WAM