Posted on February 22, 2023
International Container Terminal Services Inc. (ICTSI) presented its proposal for the expansion of Victoria International Container Terminal (VICT), its subsidiary in the Port of Melbourne, Australia. This initiative would pave the way for larger ships to dock at the port.
ICTSI could invest more than $343 million, on top of the more than $481 million it has already invested in Victoria, Australia since VICT’s establishment in 2014.
Under the proposal, ICTSI would undertake a phased development of the Webb Dock North Container Terminal and integrate its operations with VICT. The development would increase VICT’s container capacity to 3.7 million twenty-foot equivalent units (TEUs), allowing for four container berths with the capacity to service vessels up to 14,000 TEUs and up to 367 meters in length.
ICTSI Executive Vice President Christian Gonzalez said : “Victoria’s growing economy presents the Port of Melbourne with an opportunity to cement its position as Australia’s number one container port. ICTSI wishes to consolidate its partnership with the Port of Melbourne to offer the lowest cost, most efficient and environmentally sustainable solution.”
“Our vision for this operation is in line with the Port of Melbourne’s own vision, as it examines strategies to expand capacity and facilitate the growth of the Victorian economy,” added the manager.
ICTSI has engaged a number of global companies to assess the merits of its proposal against current expansion designs for the Port of Melbourne. Jacobs Engineering conducted a technical evaluation including construction cost estimates, while Boston Consulting Group focused on market and economic evaluations.
External reports conclude that the ICTSI proposal could generate cost savings of more than $165 million.