UAE-based integrated steel plant Emirates Steel and the marine service arm of Abu Dhabi Ports, SAFEEN Group have announced the commencement of transshipment operations as part of the 10-year contract signed between the two entities in 2019.
According to the joint statement, SAFEEN will work closely with Emirates Steel to provide short marine shipping services for three shipments of iron ore per month and will be in charge of the purchase, leasing, distribution, operation, and maintenance of cargo ships, trailers, and unloading equipment for the premier steel producer.
This is the company’s latest venture into the transshipment market vertical and one of the largest active transshipment agreements (by volume) in the Arabian Gulf region. The contract will be delivered via a converted Post-Panamax bulk, the largest bulk commercial vessel ever registered under the UAE flag, along with three self-propelled and self-discharging barges, and a wide range of marine assets such as tugs and speed boats.
The four ships will work closely together to discharge and transship cargo from mother ships of various sizes up to Newcastlemax class, and then safely transport and unload the raw materials from anchorage to Emirates Steel’s Musaffah jetty.
“This memorable moment demonstrates Emirates Steel’s drive for strategic alliances, especially within the context of our commitment to supporting the cooperation between home-grown entities. We are confident that our collaboration with Abu Dhabi Ports will leverage the full capabilities of SAFEEN’s transshipment fleet. Through the launch of HAFEET, we have ensured the best logistical and shipping services to receive over 5 million tonnes of our raw materials (equivalent to 75-football pitches) yearly as efficiently and effectively as possible. I am very excited about Emirates Steel’s future developments and expansion plans, which will contribute to supporting the economy of Abu Dhabi, and I hope today’s significant milestone is only the first step towards more cooperation and synergy between Emirates Steel and Abu Dhabi Ports.”
Captain Mohamed Juma Al Shamisi, Group CEO of Abu Dhabi Ports said, “Working in close collaboration with our valued partner Emirates Steel has enabled us to not only make certain that the start of our transshipment operation falls in line with their logistical requirements but also ensures that SAFEEN’s first foray into this new vertical is a successful one and representative of the integrated and comprehensive capabilities offered by the wider Abu Dhabi Ports group.”
“By combining the long-standing expertise of our marine service arm, along with the increased capacity of our newly retrofitted and ultra-modern transshipment fleet that is being led by M/V HAFEET, we can deliver a robust offering that will enhance the maritime and logistics activities of our customers and enable their business to reach new horizons,” Mr. Al Shamisi further added.
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