The Port of Nanaimo has signed a 50-year-agreement with DP World around short-sea shipping operations at Duke Point Terminal. (News Bulletin file photo)

The Port of Nanaimo has signed a 50-year-agreement with DP World around short-sea shipping operations at Duke Point Terminal. (News Bulletin file photo)

Lease ‘important first step’ in $105-million Nanaimo port expansion project

Port of Nanaimo and DP World sign 50-year shipping operations agreement for Duke Point

An agreement has been signed that will enable expansion of short-sea shipping operations out of Nanaimo’s Duke Point over the long term.

A 50-year terminal lease agreement was signed Wednesday, Feb. 24, between the Port of Nanaimo and DP World, according to a port authority press release.

The port says the agreement will provide a long-term port-to-port solution for short-sea shipping between Nanaimo and Vancouver, as well as expand direct access from Nanaimo to global import-export markets via direct calls to Asia.

The agreement is “an important first step” in planned terminal expansion, the release notes. The project is currently estimated at $105 million, funded through a mix of public and private investment that includes a $46.2-million federal contribution through the national trade corridors fund and $15 million from the province as a part of B.C.’s economic recovery plan.

Maksim Mihic, DP World Canada general manager, said in a video announcement that a modern container facility will make Vancouver Island more competitive and bring it closer to North American and international markets.

“By introducing marine container services on Vancouver Island we are actually bringing the vessels and using the short-sea shipping to connect those containers directly to the vessel and eliminating the truck leg,” Mihic said. “At peak volume we estimate we will move north of 200,000 containers on the Vancouver Island Duke Point facility and, at the current rate, every container is about 1.8 trips … so that alone will take about 300,000 trips off the road.”

Donna Hais, Port of Nanaimo chairwoman, said in a video announcement that short-sea shipping is critical to the economy.

“It allows us to take a large shipment and split it into smaller shipments, put it on barges and into separate containers and send it directly to the port it affects,” she said.

story continues below

The project includes an extension of the existing berth from 182 metres to 325m and construction of a new truck gate, warehouse and administration and maintenance building. The existing diesel quay crane will be replaced with two 16 container-wide electric quay cranes. The terminal’s container yard storage area will be expanded to create an operational capacity of 280,000 shipping containers.

Upgrades to drainage, sewer, electrical, water and security systems are also in the project plans.

READ ALSO: Federal government commits $46 million to expand Port of Nanaimo’s Duke Point operations

Nanaimo Mayor Leonard Krog said in the video announcement that the expansion of Duke Point shipping operations will lead to jobs and prosperity and other benefits.

“It enables us to be the central port for Vancouver Island that we believe Nanaimo to be,” he said, pointing out that more than half the Island’s population lives north of the Malahat. “This is just part of a long-term integration of transportation and goods delivery that’s really important and will help benefit our economy for decades.”

Sheila Malcolmson, Nanaimo MLA, said in a press release that the B.C. government is investing in infrastructure projects that have the potential to help people in the short-term and beyond the pandemic.

“Investing in the Nanaimo port … will improve western trade corridors and help local businesses get goods to market,” she said.

DP World is also involved in terminal operations in Vancouver, Surrey, Prince Rupert, and Saint John, N.B.

For more news from Vancouver Island and beyond delivered daily into your inbox, please click here.

READ ALSO: Infrastructure, internet, industrial land key to Nanaimo’s economic development strategy



photos@nanaimobulletin.com
Like us on
Facebook and follow us on Twitter

Business and IndustrialDP WorldNanaimotrade

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

Rainbow trouts thrashing with life as they’re about to be transferred to the largest lake of their lives, even though it’s pretty small. These rainbows have a blue tinge because they matched the blue of their hatchery pen, but soon they’ll take on the green-browns of their new home at Lookout Lake. (Zoe Ducklow/News Staff)
VIDEO: Lookout Lake stocked with hatchery trout to delight of a seniors fishing club

The Cherish Trout Scouts made plans to come back fishing soon

Traffic is backed up due to a crash on Highway 1. (Photo courtesy of Google Maps)
Traffic backs up on Highway 1 westbound in View Royal after crash

First responders are reportedly on the scene in View Royal

A driver stopped by Saanich police following a road rage incident on April 15 was found to be impaired, in violation of a license restriction and in a damaged vehicle. They received a 90-day driving prohibition and a 30-day vehicle impound. (Saanich Police Traffic Safety Unit/Twitter)
Driver stopped on Pat Bay Highway after road rage reports fails breathalyzer test: police

Several witnesses reported driver to Saanich police, school officer intercepted

Pacific Institution in Abbotsford. (Black Press Media file photo)
Inmate with ties to Victoria dies in Abbotsford institution

Brodie Bingley, who was sentenced for aggravated assault in Maple Ridge died April 13

The site of the proposed rental housing development at 2197 Otter Point Rd. (District of Sooke)
District of Sooke approves development with 77 rental units

New parking lot for John Phillips Memorial Park included in project

A woman wears a protective face covering to help prevent the spread of COVID-19 as she walks past the emergency entrance of Vancouver General Hospital in Vancouver, B.C., Friday, April 9, 2021. COVID-19 cases have been on a steady increase in the province of British Columbia over the past week. THE CANADIAN PRESS/Jonathan Hayward
Top doctor warns B.C.’s daily cases could reach 3,000 as COVID hospitalizations surge

There are more than 400 people in hospital, with 125 of them in ICU

(Black Press Media file photo)
POLL: Do you have a plan in place in the event of a tsunami?

Tsunamis have claimed the lives of more than 250,000 people between 1998… Continue reading

Anyone with information on any of these individuals is asked to call 1-800-222-TIPS (8477) or visit the website victoriacrimestoppers.ca for more information.
Greater Victoria Crime Stoppers wanted list for the week of April 13

Greater Victoria Crime Stoppers is seeking the public’s help in locating the… Continue reading

A crossing guard stops traffic as students wearing face masks to curb the spread of COVID-19 arrive at Ecole Woodward Hill Elementary School, in Surrey, B.C., on Tuesday, February 23, 2021. A number of schools in the Fraser Health region, including Woodward Hill, have reported cases of the B.1.7.7 COVID-19 variant first detected in the U.K. THE CANADIAN PRESS/Darryl Dyck
COVID-infected students in Lower Mainland schools transmitting to 1 to 2 others: data

Eight to 13 per cent of COVID cases among students in the Lower Mainland were acquired in schools, B.C. says

An armed officer walks outside Cerwydden Care on Cowichan Lake Road near Skinner Road Wednesday, April 14 around 5:30 p.m. (Kevin Rothbauer/Citizen)
Police standoff at Duncan apartment ends peacefully

Officers surround building as homeowner held in apartment for nearly four hours by adult son

Latest modelling by public health shows cases generated by COVID-19 infections into places where it can spread quickly. (B.C. Centre for Disease Control)
Industrial sites, pubs, restaurants driving COVID-19 spread in B.C.

Infection risk higher in offices, retail, warehouses, farms

The District of Sooke will continue to flower with Communities in Bloom. (Pixabay)
Sooke will bud but not bloom in provincial competition

Council scales back participation in Communities in Bloom

The father of Aaliyah Rosa planted a tree and laid a plaque in her memory in 2018. (Langley Advance Times files)
Final witness will extend Langley child murder trial into May or June

Lengthy trial began last autumn with COVID and other factors forcing it to take longer than expected

Most Read