The Yemeni transport minister, Khalid al-Wazir, says the country has signed a memorandum of understanding which establishes the principal of a joint Yemeni-UAE company to run the terminal.
Aden Seaports and Dubai Seaports will each own 50 per cent of the new company. A full structure for the new business will be established in December.
The minister denied reports that the UAE had threatened to withdraw investment in the port before the new agreement was reached.