Riyadh – Mubasher: Saudi Industrial Services Company (SISCO) announced that its agreement with Red Sea Gateway Terminal (RSGT) and the Saudi Port Authority (Mawani) to develop a comprehensive long-term plan for the development of Jeddah Islamic Port (JIP) has been approved.

SISCO signed a memorandum of understanding with RSGT and Mawani back in January, today, SISCO announced that RSGT has received the approval from the Supervisory Committee of Privatization in Transportation Sector for the agreement of new concession which will be signed in December 2019 to develop and operate the whole northern section of the Jeddah Islamic Port (JIP).

The build, operate and transfer (BOT) agreement is planned for 30 years starting from 2020, replacing RSGT's existing agreement, according to the company’s statement to the Saudi Stock Exchange (Tadawul) on Sunday.

It is worth noting that RSGT is a subsidiary of SISCO, in which it owns 60.6%.

RSGT already invested SAR 2.5 billion in the current concession since the container terminal project was started in 2007.

The new concession includes an agreement to upgrade the infrastructure and add new berths and equipment to enable JIP to become the pioneer in global container trade shipping between the East and West.