Abu Dhabi inaugurated a new container terminal at Khalifa Port on 10 December.

A joint venture of Abu Dhabi Ports and China’s Cosco Shipping Ports agreed in 2016 to develop and operate the second container terminal under a 35-year concession agreement.

The contract is renewable for five years and has an estimated value of $738m.

It was said last year that the second container terminal was expected to become operational in early 2019.

The terminal will double Khalifa Port’s existing capacity of 2.5 million 20-foot equivalent units (TEUs), with provision for an additional 1 million TEUs depending on the success of the business model and the port’s growth.

The local National Marine Dredging Company (NMDC) recently won the estimated AED1bn ($272m) contract to expand Abu Dhabi’s Khalifa Port.

The marine works contract covers the construction of a 3 kilometre quay wall in addition to deepening the port’s main channel and basin.

NMDC has already completed the first contract for the second container terminal.