PORTS, TRANSPORT AND LOGISTICS SECTOR NEWS ROUND-UP, 3/2020 (3 – 14 FEBRUARY 2020)

By Norma Wheeler,Andrew Pike,Trudie Nichols Friday, February 21, 2020
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In light of the rapid pace of infrastructure and transport developments across Africa, our Ports, Transport and Logistics (PTL) Sector Group is pleased to present Bowmans’ latest PTL news round-up. Our regular round-ups bring you a selection of pan-African PTL-related stories and keep you up to date regarding developments in the space across Africa.
We draw on a network of multi-disciplinary experts across Africa in fields as diverse as project finance, construction and environmental law, to keep you in the know about developments and thought leadership in the PTL space.

The articles to which we refer readers are, unless stated otherwise, neither written nor edited by ourselves and appear in their original form. Bowmans does not necessarily agree with opinions expressed in those articles.

This edition includes news headlines and links to articles from a variety of sources, covering stories from Angola, Cameroon, Central African Republic, Ghana, Kenya, Mozambique, Namibia, Nigeria, South Africa and Zimbabwe.

South African President’s 2020 State of the Nation Address
President Ramaphosa’s State of the Nation address (SONA) on 13 February 2020 (copy available from the South African Government News Agency here) included the following:

  • An acknowledgement that South Africa’s ports are congested and inefficient, coupled with an undertaking to fundamentally overhaul the Durban port to reduce delays and costs. Bowmans comment: The overhaul of Durban harbour to address the congestion issue is vital to the wider economy of the country. Any initiative to resolve the management and operational challenges in the port of Durban is to be welcomed.
  • Confirmation that South Africa will host an Extraordinary African Union Summit in May to finalise the modalities of the Africa Continental Free Trade Area (AfCFTA), which will be implemented on 1 July 2020. Bowmans comment: The discussions and negotiations regarding the rules which will apply to rules of origin, tariffs and the application of open borders to various services and sectors will be intensive, historic and challenging. The successful implementation of the operational phase of the AfCFTA will have a direct impact for South Africa.

To read more Bowmans commentary on the SONA, click here.

News continues below:

Sona offers hope for Durban port congestion headache (South Africa)
Source: FTW Online (14 February 2020)
President Cyril Ramaphosa has confirmed what the logistics industry has been telling government for years - “our ports are congested and inefficient”. Read the full article here.

Namport and Grand Port Maritime de Dunkerque sign MoU on technical cooperation (Namibia)
Source: Africa Ports (14 February 2020)
Namibian Ports Authority (Namport), Grand Port Maritime de Dunkerque (GPMD) and Agence Française de Développement (AFD) yesterday (Thursday, 13 February 2020) signed a tripartite Memorandum of Understanding for the implementation of a technical cooperation initiative on the occasion of a high level French business delegation visiting Namibia. Read the full article here.

Kribi deepwater port grows its CAR traffic 70% during 2019 (Cameroon and Central African Republic)
Source: Africa Ports (13 February 2020)
Imports and exports from the Central African Republic (CAR) through the Cameroon deepwater port of Kribi grew by almost 70 per cent during 2019. Read the full article here.

TPT boosts equipment capabilities with R2bn investment (South Africa)
Source: Creamer Media’s Engineering News (13 February 2020)
Transnet Port Terminals (TPT) has already invested R2-billion to replace ageing equipment during the 2020 calendar year in response to industry calls for equipment that will improve performance across its operations. Read the full article here.

Increased traffic brings rising prospects for Port of Lüderitz (Namibia)
Source: Africa Ports (12 February 2020)
Prospects for the Port of Lüderitz are on the rise involving rapid economic acceleration in terms of Namibia’s Harambee Prosperity Plan. Read the full article here.

South Africa’s Wamkele Mene is AfCFTA’s first secretary-general (South Africa)
Source: Africa Ports (12 February 2020)
A South African nominee has been elected as the first secretary-general of the African Continental Free Trade Area (AfCFTA). The AfCFTA begins its work officially from 1 July 2020. Read the full article here.

SALDEHCO looks to unlock SA's ocean economy with offshore support services (South Africa)
Source: Africa Ports (12 February 2020)
South Africa’s first planned facility, with a focus on providing specialist and generalist services for both the offshore oil and gas industry, as well as maritime traffic off South Africa’s Western Coast, the Saldanha Offshore Support Base (SOSB) will unlock South Africa’s ocean’s economy by providing offshore support services to the global economy. Read the full article here.

Beit Bridge border set for major revamp (South Africa and Zimbabwe)
Source: Africa Ports (12 February 2020)
South African Home Affairs Minister Aaron Motsoaledi says the Beit Bridge border post, one of six large land ports of entry, has been identified for infrastructure development. Read the full article here.

Hapag-Lloyd reports on Lagos port situation (Nigeria)
Source: Africa Ports (11 February 2020)
Hapag-Lloyd has issued a statement reporting on the current situation as experienced by themselves at the port of Lagos in Nigeria (Apapa and Tin Can Island) and provides useful information even to non Hapag-Lloyd stakeholders. Read the full article here.

Three new RAstar 3300 tugs delivered to Ghana Ports & Harbours Authority (Ghana)
Source: Africa Ports (11 February 2020)
The TOR Group of Companies’ (TOR) shipyard in Tuzla Bay (Istanbul), has delivered the third of three Robert Allan-designed RAstar 3300 tugs for Ghana Ports & Harbours Authority (GPHA), the BEN OWUSU-MENSAH. Read the full article here.

Fugro awarded Aker Energy contract for Pecan field surveys offshore Ghana (Ghana)
Source: Africa Ports (11 February 2020)
Fugro has announced that it has been awarded the Aker Energy contract for geotechnical and geophysical survey services in relation to the Pecan field, which is offshore Ghana. Read the full article here.

Infrastructure at the forefront for the African Union
Source: FTW Online (11 February 2020)
President Cyril Ramaphosa has earmarked infrastructure development as the catalyst for economic growth and industrialisation in Africa, saying South Africa will play an active role in driving this initiative. Read the full article here.

Daewoo awarded $500m LNG train contract in Mozambique (Mozambique)
Source: FTW Online (11 February 2020)
In the latest development confirming the size and scope of liquid natural gas (LNG) production in Mozambique’s Cabo Delgado province, Daewoo Engineering & Construction has received a $500-million contract to build two trains at the Afungi liquefaction site in Palma. Read the full article here.

Maputo port breaks record for volumes handled in 2019 (Mozambique)
Source: Creamer Media’s Engineering News (13 February 2020)
The Port of Maputo, in Mozambique, handled 21-million tons of goods last year, exceeding its 2018 record of 19.5-million tons. Read the full article here.
Also reported in Africa Ports here.

Stimulus packages come under focus for maritime economic sector: Presidency (South Africa)
Source: SAMSA (9 February 2020)
Tracking down a set of stimulus packages earlier announced by government, and the revival of an inter-ministerial committee focused on South Africa’s maritime economic sector are among key issues to be pursued in the short term, according to Deputy Minister in the Presidency, Ms Thembi Siweya. Read the full article here.

Seabourn cruise ship rouses Angolan interest in cruising (Angola)
Source: Africa Ports (7 February 2020)
The arrival in Luanda on Tuesday of the Seabourn cruise ship SEABOURN SOJOURN has helped rekindle interest among the tourist sector in Angola as to the value and advantages that the cruise industry can bring to the Central West African country. Read the full article here.

Durban port in the doldrums (South Africa)
Source: Africa Ports (7 February 2020)
Figures reflecting cargo handled in the ports for the calendar year 2019 just completed do not make for encouraging reading and while lots can be read into these statistics, the cold reality is that they are a reflection of an economy that is sitting still – not quite going backwards as yet but hardly advancing either. Read the full article here.

Proposed inland port could change the Gauteng logistics landscape (South Africa)
Source: Creamer Media’s Engineering News (7 February 2020)
Investor and developer NT55 Investments believes the Distribution Junxion development – a proposed inland port and railway park in Gauteng – will transform the country’s rail and transport logistics landscape through its efficient supply chain performance and the considerable cost savings it will engender. Read the full article here.

Tullow Oil and Total ready to sell off Kenya's South Lokichar oil fields (Kenya)
Source: Africa Ports (4 February 2020)
Just as the oil fields of South Lokichar in northern Kenya are preparing to go into production of oil in 2022, it appears that Ireland’s Tullow Oil and France’s Total are preparing to sell their interests. Read the full article here.

Bar set high for new Transnet CEO (South Africa)
Source: South African Government News Agency (3 February 2020)
The Public Enterprises Ministry has expressed confidence that the newly appointed Transnet group Chief Executive, Portia Derby, will be able to turn around the beleaguered parastatal. Read the full article here.

Announcement of the new Transnet Group Chief Executive (South Africa)
Source: Transnet (3 February 2020)
The Transnet Board is pleased to announce the appointment of Ms Portia Derby as the new Transnet Group Chief Executive, who will take up the position on 1 February 2020. Read the full press release here.

LBH Jack up barge heads to Mocimboa da Praia to become instant 'pop up port' (Mozambique)
Source: Africa Ports (3 February 2020)
LBH Mozambique has recently invested in two ‘Massive’ jack up barges to support the offloading of project cargo for the LNG projects underway in the north of Mozambique. Read the full article here.

Bowmans comment: Bowmans were involved in advising LBH on the acquisition of the two jack-up barges. Conceptually these barges are an exciting prospect for remote areas needing basic port infrastructure to be erected quickly and economically.