Brasil Terminal Portuário requests lease renewal with U$ 260 million investment plan
Brasil Terminal Portuário (BTP) – a 50/50 joint venture between Terminal Investment Limited and APM Terminals – requested the early renewal of its leasing contract in the Port of Santos this month. The company committed to an investment of around 1.3 billion Reais (approx. U$ 260 million) over the next 20 years of extension, according to APM Terminals's release.
The Company’s plan regarding the early renewal request for contracts extension is to continue investing to increase its operating capacity within the current limits of the terminal. For this, the future investments consist of the purchase of 4 additional STSs (Ship to Shore cranes), 27 RTGs (Rubber Tire Gantry) and 46 terminal trucks. With the new acquisitions, the terminal will have a total of 12 STSs, 57 RTGs and 103 Terminal Tractors.
In addition to the purchase of new and modern equipment, the investment plan also includes the strengthening of the berths to accommodate vessels of 366m length, the automation process of the terminal’s gates, the relocation of the administrative building, improvements to other facilities as well as the expansion of the reefer area. The operational area would increase by approximately 24 thousand sqm, from the current 430 thousand sqm to 454 thousand sqm total.
BTP’s lease agreement was signed in 2007 for a period of 20 years, extendable for another 20 years, based on the Ports Law. BTP’s initial investment in the construction and implementation of the terminal reached U$ 1 billion, of which R$ 257 million (approx. U$ 50 million) was invested on the environmental remediation of the area where the terminal is located (formerly known as the Alemoa’s dump), a project that solved the greatest environmental liability in a port area in the country.
Operations started about 6 years later, in 2013 and, since then, other investments have been made by the Company, such as the acquisition of new equipment in 2019, with total of U$ 9 million invested.
Regarding new jobs creation, the expectation is that the Company will generate up to two thousand direct jobs and up to 10 thousand indirect employment opportunities with the renewal of the concession contract. Currently, BTP has 1,400 direct employees.
