Svitzer, part of Denmark-based A.P. Moller - Maersk Group, has signed a 10-year agreement with the Suez Canal Authority wherein the company will provide two newbuild tugs to support operations.
The the largest company globally within towage, salvage and related services said in a press release that per agreement, it has to provide two new azimuth stern drive (ASD) tugs for supporting the operations in Port Said and Suez Canal.
"After several stages of approval and multi-disciplinary approaches, the agreement came to a signing point in an official ceremony on Thursday 28 March in Egypt," said the release.
Svitzer has been operating in Egypt since 2005 for Egyptian LNG in Idku, with a full Egyptian set-up and 7 vessels comprising of 4 ASD tugs, 2 line boats, and 1 pilot boat.
Svitzer has a well-established presence in Egypt which will allow for a smooth expansion into new businesses within the country, supporting the development and growth plans of Egypt in the regional and global context.
Nicolai Friis, Managing Director, AMEA, Svitzer, said: “This achievement is a significant step for Svitzer and we see it as a reflection of our global and local ambition to support growth in the region. We have a strong and long-standing relationship with Egypt, and for the past years, we have invested continuously, as Egypt plays an important role in our expansion as towage operators in the region. I would like to thank both Suez Canal Authority and our local team which has been instrumental in today’s win, working relentlessly to help us create the foundation of our regional growth.”
This new agreement with Suez Canal Authorities reflects Svitzer’s Staying Ahead and One Maersk strategies to strengthen the Global Ownership Advantage in a regional context.
The investment in two new-build tugs is expected to be executed immediately after signing the contract with SCA, as the commencement of the contract is within 3.5 months from signing.