The terms of the contract are likely to be similar to those for the first concession, although this time no minimum level of investment has been stipulated, nor has a threshold been set for the volume of the terminal’s throughput. The capacity of the second terminal will be about 1.5 million 20-foot equivalent units (TEUs) a year. The award is due by October, with operations to begin in 2008.

TMSA is also negotiating with three groups for towage and salvage work at the port. Bids were initially submitted on 15 April for the contract which calls for at least four new tug boats and related equipment. The bidders are: France’s Les Abeilles; SMITof the Netherlands; and a consortium of Ibaizabal and Remolcadores de Barcelona, both of Spain, with the local Holmarcom. The client is looking to make an award by September.

Companies now have until 30 June to bid for the 25-year concession to manage and operate the port’s 110-metre-long hydrocarbons terminal. An award is expected in early 2006, with operations due to begin in June 2007.

The UAE’s Jebel Ali Free Zone International (JAFZI) has also signed with TMSA a 10-year concession agreement to manage the logistics free zone at TangMed. The deal follows a co-operation agreement signed in October. The logistics free zone is one of three free zones on the TangMed project and will cover an area of 130 hectares.