Turkish port operator Yilport Holding secured a 50-year concession to develop Puerto Bolívar Port and committed to invest $750 million in the Ecuadorian port.
The Turkish conglomerate Yildirim Group said its subsidiary Yilport Holding has secured a 50-year concession to develop Puerto Bolívar Port in Machala City, Ecuador.
Puerto Bolívar is the second largest port in Ecuador after Guayaquil, and is largely used for exporting bananas and seafood.
Yilport has committed to invest $750 million in five phases at the port, creating Latin America’s largest container terminal with 2.5 million TEUs of annual container handling capacity.
In the first phase, which will span three years, Yilport will invest $230 million. Dredging will deepen the 10-meter draft to 14 meters and then to 17 meters. In addition, a new, 450-meter long quay will be built and the terminal will be equipped with modern infrastructure and cranes. “Consequently, the largest container ships of the world will berth and receive services at Puerto Bolívar,” Yildirim said.
“Eventually, the port will become the largest and the most advanced state-of-the-art container terminal on the Pacific coast of Latin America,” the company added. “Puerto Bolívar will boost the foreign trade volume of Ecuador, and will constitute a strategic role in the global network of Yilport Holding.”
The concession agreement was signed Monday in Puerto Bolívar and represents the largest Turkish investment in Ecuador ever.
Puerto Bolívar, which is located in Ecuador’s El Oro province, is situated south of Guayaquil.
The Ecuadorian port represents the 21st port in Yilport’s portfolio. The expansion minded company said it wants to become one of the top 10 international port operators by 2025 and earlier this year, it expressed interest in acquiring Ports America.
Yilport won the tender for Puerto Bolívar in 2015. The preliminary agreement was signed in February in the presences of President of Turkey Recep Tayyip Erdogan and President of Ecuador Rafael Correa when Erdogan was in Ecuador. The handover process commenced after the signing took place Monday and will be concluded in 90 days.
Yilport to invest $750m in Ecuadorian port
