DP World inks deal for Phase 1 of Suez Canal industrial zone
DP World signs agreement with the Suez Canal Authority and the Suez Canal Economic Zone (SCZone) for the development of an industrial and residential zone in Sokhna, Egypt
DP World has signed an agreement with the Suez Canal Authority and the Suez Canal Economic Zone (SCZone) for the development of an integrated industrial and residential zone in Sokhna, Egypt, it said on Tuesday.
The framework agreement establishes a timetable of actions required to execute the first phase of the project, which spans 30 square kilometres.
DP World will manage the zone, which is projected to start in the first quarter of 2018.
The deal was signed by Sultan Ahmed Bin Sulayem, group chairman and CEO of DP World and Admiral Mohab Mamish, chairman of the Suez Canal Authority and the Suez Canal Economic Zone (SCZone).
The agreement follows a partnership deal signed in November last year to develop a 95 square kilometres zone that will include industrial and residential areas, as well as the expansion of Sokhna Port.
The project will increase the ports capacity, linking it to the industrial zone and creating more than 400,000 jobs.
The zone will be focused on business sectors include light and medium-sized industries, logistics, and service utilities.
A residential zone spanning 20 square kilometres will include coastal villas, residential units, shopping and administrative centers, entertainment facilities, mosques, schools, hospitals, clubs and green spaces and will be designed to accommodate 500,000 people.
The Suez Canal Economic Zone will have a majority stake in the venture, of 51% and DP World a 49% stake.