Chinese co PMEC wins Ashdod port tender

Ashdod Port  picture: Eyal Yitzhar

China Harbour Engineering Company unit PMEC will build the new South Port.

China Harbour Engineering Company unit PMEC (Pan-Mediterranean Engineering) has won the tender to construct the South Port in Ashdod, Israel Ports Company announced today. "Globes" revealed last week that the Chinese company had won the tenders to build Israel's two new ports with bids of NIS 3.35 billion for the port in Ashdod and NIS 3.5 billion for the Bay Port in Haifa, and will be able to choose which of the two to construct.

Now Israel Ports Company will ask Shafir Civil and Marine Engineering Ltd. and Ashtrom Properties Ltd. (TASE:ASPR), which placed second in the tender, to construct the Bay Port at a price similar to that bid by PMEC. Should the Shafir-Ashtrom consortium refuse, then Israel Ports Company will approach the third contender, a consortium comprising Solel Boneh of the Shikun & Binui Holdings Ltd. (TASE: SKBN) group and Ludreco, of the Belgian Jan De Nul group.

Israel Ports Company said today that the cost of the works in the tender to build the South Port was NIS 3.3 billion. The works include construction of a working quay, extension of the existing main breakwater by 600 meters, constructing 1,500 meters of secondary breakwaters, constructing quays, with a main quay 800 meters in length and a 17.3 meter depth of water, constructing storage and operating areas, and dredging.

Minister of Transport Yisrael Katz welcomed the announcement of the result of the tender, and said, "As I promised, two new ports will be built that will bring about competition and a reduction in the cost of living. Despite the threats and the pressures, the reform is progressing at full speed."

Published by Globes [online], Israel business news - www.globes-online.com - on June 23, 2014

© Copyright of Globes Publisher Itonut (1983) Ltd. 2013

Ashdod Port  picture: Eyal Yitzhar
Ashdod Port picture: Eyal Yitzhar
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