Karachi: AD Ports Group (ADX: ADPORTS) today announced the signing of a major dredging agreement between its Karachi Gateway Terminal and Van Oord, a Netherlands-based global leader in dredging and marine contracting, to significantly expand the flow of trade through the Group's port terminals in Pakistan.
According to Emirates News Agency, the project, led by the Group's international ports operating arm, Noatum Ports, will focus on deepening berths and navigational channels at Karachi Gateway Terminal (KGTL). This upgrade will allow for the accommodation of larger vessels, increasing their length from 305 metres to 350 metres, and draft from 13 metres to 15.5 metres. As a result, container handling capacity at KGTL is expected to rise from 750,000 TEUs to 1 million TEUs upon completion.
The dredging work will also impact the adjacent Karachi Gateway Terminal Multipurpose Limited (KGTML), which handles general and bulk cargo. The project aims to double the bulk vessel capacity from 60,000 to 120,000 tonnes. This expansion is anticipated to reduce freight costs and enhance throughput at the terminal.
The dredging operations are slated to be completed by the first quarter of 2026. The KGTL and KGTML terminal operations are joint ventures between AD Ports Group and a Dubai-based partner, Kaheel Terminals.
Mohammed Al Tamimi, Chief Executive Officer of Noatum Ports, remarked on the significance of the project, stating, "This dredging project is more than a significant infrastructure upgrade to the two Karachi terminals' commercial versatility, it is a forward-looking investment in the economic resilience and global connectivity of Pakistan."
Godfried Van Oord, Area Manager Middle East for Van Oord, expressed his company's pride in being selected for the project, noting how it will enhance Pakistan's maritime infrastructure and support the nation's growing economy.
AD Ports Group, which entered the Pakistani market in 2023, is investing nearly AED 1.1 billion (USD 300 million) to modernize port infrastructure and digital systems. This investment is part of the Group's commitment to support trade growth and economic diversification in Pakistan.
Khurram Aziz Khan, Chief Executive Officer of KGTL and KGTML, highlighted the benefits of the dredging project, stating that it will allow the port to accommodate larger vessels and optimize logistics costs, reinforcing Pakistan's role as a regional trade hub and opening greater access to global markets.