AD Ports Group, headquartered in the UAE, and the Red Sea Port Authority (RSPA) have entered a fifteen-year concession agreement, enabling AD Ports Group to manage the cruise terminals of Safaga, Hurghada, and Sharm El Sheikh ports. The $3 million investment over the concession period will focus on enhancing services, accessibility for cruise operators, and expanding itineraries across AD Ports Group's Red Sea region cruise terminal network. The collaboration aims to revitalize the Sharm El Sheikh terminal, boosting cruise tourism in Egypt. Expected to be finalized in the first quarter of 2024, pending regulatory approvals, the partnership aligns with Egypt's goal to attract more international ships, augment port capacity, and stimulate transit trade. Additionally, the collaboration anticipates establishing a cruise line connecting the three ports with Zayed Port in the UAE and extending connectivity to ports in the Arabian Gulf, Port of Aqaba, and European and Asian ports.
The partnership between AD Ports Group and RSPA signifies a strategic move to enhance Egypt's cruise tourism infrastructure, fostering economic growth and international connectivity. The $200 million contract for the development of a multi-purpose terminal at Safaga Sea Port underscores AD Ports' commitment to significant investments in the region's port development. Overall, this collaboration sets the stage for expanded maritime connections and increased port efficiency in the Red Sea region.