DP World Sokhna, a subsidiary of the Dubai-based port operator DP World, has invited firms to bid by 19 April for the onshore port and terminal works contract for Egypt’s Sokhna port, sources with knowledge of the project tell MEED.

The project is part of the long-term expansion of the port, which includes the establishment of an integrated logistics area and a general cargo terminal.

This follows the award on 19 February of the contract for the construction of a second basin at the port's container terminal to Beijing-based China Harbour Engineering Company.

Sokhna Port has a capacity to handle up to 14 million twenty-foot equivalent units (TEUs) of containers and 4 million tonnes of general cargo annually.

The port is located below the southern entrance to the Suez Canal and is the closest port to the capital Cairo, where it has extensive road and rail access.

DP World began operating the container terminal at Sokhna port in 2008.

On 28 February, Egypt’s Suez Canal Economic Zone Authority (SCZone) and DP World signed an agreement to implement the first phase of the development of an integrated industrial and residential zone in Sokhna city.

The framework agreement establishes a clear timetable of actions required to execute the first phase of the project.

The first phase of the project entails the development of 30 square kilometres of the planned 75 square-kilometre zone.

SCZone and DP World formed a joint venture in November last year for the new cluster.

SCZone owns 51 per cent of the joint venture, with the rest owned by DP World, which will also manage the zone.

The development is in line with the Egyptian government’s plan to develop the Suez Canal corridor and the new administrative capital by attracting foreign direct investment.

The industrial zone of the cluster will target medical, electronics and communications, construction materials, logistics, textiles, automotive parts, food processing, energy production components and petrochemicals, the statement said.

The residential zone will span 20 square kilometres and will include coastal villas, residential units, shopping and administrative centres, entertainment facilities, mosques, schools, hospitals, clubs and green spaces. It is expected to host up to 500,000 residents upon completion.