United States-based CSX World Terminals has signed a memorandum of understanding with Pusan Newport allowing CSX to build and operate a new Pusan container terminal by 2008.
Newport, a consortium of 13 Korean companies with the largest share held by Samsung, recently finalised negotiations with the Korean Government on its 50-year concession for the expansion of Pusan.
Candidates vying for the Pusan project were said to include Hutchison Port Holdings, Stevedoring Services of America and Maersk Sealand.
CSX is looking at a terminal with capacity of 3.4 million teu (20 ft equivalent units) a year. It will also provide Newport with the promotion, management and industry expertise necessary to establish the facility.
'We are in the process of reviewing possible equity participation,' a CSX official said. 'Any participation we would have would work within the existing CSX corporate capital budget and strategy.'
The South Korean Government had begun building the breakwater and quay for the new terminal. Phase 1 will have two kilometres of berth space and a draught of 16 metres.
