Egypt Daily News – The UAE’s AD Ports Group has signed an agreement with Egypt’s General Authority for the Suez Canal Economic Zone to develop and operate a 20-square-kilometer industrial and logistics zone near the city of Port Said for a period of 50 years, renewable.
According to a statement from the Egyptian government, the project named “KIZAD East Port Said” will involve an initial investment of $120 million by AD Ports for market and technical studies.
AD Ports Group is backed by Abu Dhabi’s sovereign wealth fund ADQ, which recently announced a $35 billion investment in Egypt’s Ras El Hekma area on the North Coast—the largest foreign direct investment in the country’s history.
Last year, the Emirati group signed three 10-year cruise terminal concession agreements with the Red Sea Ports Authority for the ports of Safaga, Hurghada, and Sharm El Sheikh. In 2023, it also secured a $200 million concession to build and operate the Safaga multipurpose terminal, the first of its kind in Upper Egypt.
The company’s net profit surged by 416% year-on-year in the last quarter of 2024, reaching AED 383 million, driven by two major acquisitions and increased activity due to the Red Sea shipping crisis.
Under the new agreement, AD Ports will design, construct, finance, operate, and manage the industrial and logistics zone in phases. The first phase, covering 2.8 square kilometers, is set to begin construction by the end of this year and will include a 1.5-kilometer quay, which may later include a multipurpose cargo terminal.
In parallel, AD Ports also signed an MoU with Hassan Allam Holding to explore further port and industrial zone projects, including joint opportunities in East Port Said and other locations across Egypt.
In December of last year, AD Ports commissioned Hassan Allam Construction to develop infrastructure at the Safaga terminal on the Red Sea coast.
East Port Said is considered a key hub for trade and investment, strategically located on the Mediterranean at the entrance to the Suez Canal.
