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Sunday, January 26, 2020

Djibouti News

Court Orders DP World's Rights Restored for Doraleh Port

A London arbitration court has ordered Djibouti to restore DP World's right to operate the Doraleh Container Terminal as detailed under a 2006 concession deal within two months or pay damages, the state news agency WAM reported on Tuesday.The government of Djibouti seized the terminal from Dubai government-controlled DP World in February 2018 over a dispute dating back to at least 2012.An independent expert has estimated the losses to DP World at more than $1 billion, WAM reported. (Reporting by Asma Alsharif; Editing by Jan Harvey)

File image: A typical DP World Terminal during cargo operations. (CREDIT: DP World)

DP World: Djibouti Dispute Hurts Firm's Borrowing Ability

Global ports operator DP World has struggled to borrow from banks to finance new investments since a port it partially owns in Djibouti was seized by the government there in 2018, its chairman said on Monday."We are investing but it is costing us more. That’s the damage," DP World Chairman Sultan Ahmed bin Sulayem told Reuters in Rwanda's capital Kigali, where the company opened a $35 million logistics platform on Monday."Fewer banks will lend us money today," he said, without giving further details.

Image:  International Maritime Organization (IMO)

France Conducts Training on Port Management

An intensive training on port management and operational efficiency was delivered to high-level officials and decision-makers from maritime and port authorities around the world.The annual five-week course, delivered by the Institut Portuaire d’Enseignement et de Recherche (IPER), concluded on 11 October in le Havre, France.The 33rd Advanced Course on Port Operations and Management welcomed 19 participants from 19 countries. Seven of these participants were women. The participating countries were Algeria…

Pic: International Maritime Organization (IMO)

Saudi Arabia Boosts MIS Center

The new, state-of-the-art Jeddah Maritime Information Sharing Center is set to boost information sharing and support maritime security in the region.The first 15 national operators to work in the center have completed a three-week training in Jeddah, Saudi Arabia (25 August – 12 Sep 2019) with the support of International Maritime Organization (IMO) .It is envisaged that the center will become fully operational by the end of the year. It will serve both as a regional center to share information through the Djibouti Code of Conduct focal points…

File Image: A Japanese Naval Warship asset. CREDIT: AdobeStock / © JPAaron

Japan Won't Join US-Led Maritime Coalition in Gulf

Japan will not join a U.S.-led security mission to protect merchant vessels passing through key Middle Eastern waterways, but will consider deploying its naval force independently, the Yomiuri newspaper reported on Tuesday.Though the United States is Japan's most important ally, Tokyo has fostered economic ties with Iran, and Japanese firms had been major buyers of Iranian oil until U.S. sanctions forced them to find other suppliers.Citing unidentified government sources, the…

File Image: A Chinese Naval Frigate underway. CREDIT: AdobeStock / © Vanderwolf

China Mulls Hormuz Naval Escort Role

China might escort Chinese commercial vessels in Gulf waters under a U.S. proposal for a maritime coalition to secure oil shipping lanes following attacks on tankers, its envoy to the United Arab Emirates said on Tuesday."If there happens to be a very unsafe situation we will consider having our navy escort our commercial vessels," Ambassador Ni Jian told Reuters in Abu Dhabi."We are studying the U.S. proposal on Gulf escort arrangements," China's embassy later said in a text…

Doraleh Container Terminal (DCT). Photo: DP World

DP World Slams Djibouti Government

The global port operator DP World has accused the government of Djibouti of “complete disregard and contravention” of the global legal system as it plans to rule all international adjudications on the Doraleh Container Terminal null and void."A decision to be taken later this week by the government of Djibouti to apply to the country's high court to rule all previous international adjudications null and void is a complete disregard for and contravention of the global legal system and existing contracts…

USN File photo: flight operations underway on the USS Boxer, the warship credited this week with downing an Iranian drone.

Stakeholders Ignore U.S. Middle East Coalition Proposals

The United States is struggling to win its allies' support for an initiative to heighten surveillance of vital Middle East oil shipping lanes because of fears it will increase tension with Iran, six sources familiar with the matter said.Washington proposed on July 9 stepping up efforts to safeguard strategic waters off Iran and Yemen where it blames Iran and its proxies for tanker attacks. Iran denies the charges.But with Washington's allies reluctant to commit new weaponry or fighting forces…

Box Ship Rescues 6 in the Gulf of Aden

On June 20, 2019, Ocean Network Express (ONE) operated vessel, NYK EAGLE, was involved in a combined rescue operation involving Combined Maritime Forces (CMF), United Kingdom Maritime Trade Operations (UKMTO) and regional Maritime Rescue Coordination Centers. NYK EAGLE safely rescued 6 crew members from a sinking coastal vessel in the Eastern Gulf of Aden.NYK EAGLE was navigating the ocean when it received a request from CMF to assist a small sinking coastal vessel, as NYK EAGLE was closest to the affected vessel.

U.S. Clinches Port Deal with Oman

Tehran has in the past threatened to block the Strait of Hormuz, a major oil shipping route at the mouth of the Gulf, in retaliation for any hostile U.S. action, including attempts to halt Iranian oil exports through sanctions.Still, the U.S. official noted that the agreement would expand U.S. military options in the region for any kind of crisis.Duqm is ideal port for large ships. It is even big enough to turn around an aircraft carrier, a second official said."The port itself is very attractive and the geostrategic location is very attractive…

Pic: International Maritime Organization (IMO)

Focus on African Maritime Development

As part of its continuing efforts to help African countries improve the sustainability of their maritime sectors and their blue economies, International Maritime Organization (IMO) frequently works with partners to help support their initiatives.This work includes participating in two major annual maritime security exercises in Africa, the first of which, Cutlass Express, is currently underway in Djibouti, Mozambique and the Seychelles (25 January – 7 February).Cutlass Express puts special emphasis on encouraging navies and civilian agencies and different countries to work together…

African Sprinter (Courtesy of Monjasa)

Monjasa: New Bunker Location on the Suez

Monjasa expects a 200,000mts volume increase from its new supply location Djibouti. The objective is to challenge status quo and provide a valid alternative to the traditional Suez and Jeddah bunker markets.Strategically located at the mouth of the Red Sea, Djibouti is fast developing into an attractive bunker destination on the busy Suez waterway. Improved maritime infrastructure and heavy investments in port developments are expected to further advance trade going in and out…

Marco Rubio and Chris Coons (official portraits)

US Senators Alarmed if China Gets Control of Djibouti Port

Two prominent U.S. senators expressed alarm on Tuesday about the military and political consequences if China gains control of a port terminal in Djibouti, and said they were concerned it could further boost Beijing's influence in East Africa.In a letter to Secretary of State Mike Pompeo and Secretary of Defense Jim Mattis, Republican Senator Marco Rubio and Democratic Senator Chris Coons said they were concerned about Djibouti's termination of a contract for the Doraleh Container…

(Photo: DP World)

DP World Launches Expansion of Port in Somaliland

Dubai state-owned port operator DP World launched on Thursday a $101 million project to expand a port in the breakaway region of Somaliland.Somaliland broke away from Somalia in 1991 and has acted as a de-facto independent state since then but is not internationally recognized. The United Arab Emirate's Dubai government owns DP World.The port in Berbera exports camels to the Middle East and imports food and other items, but Somaliland hopes it will provide an alternative for neighboring Ethiopia - a landlocked country of 100 million which relies on Djibouti for its trade.On Thursday…

DP World Says to Pursue All Legal Means in Djibouti Dispute

DP World said on Tuesday it would continue to pursue all legal means in its dispute with the government of Djibouti which seized a port terminal operated by the company earlier this year.Djibouti this week nationalized shares held by the Port of Djibouti in the Doreleh Container Terminal, a joint venture operated by DP World until February when the government seized the terminal.(Reporting by Alexander Cornwell; editing by Jason Neely)

© homocosmicos / Adobe Stock

Djibouti Nationalizes Stake in Doraleh Container Terminal

Djibouti has nationalized the two-thirds stake in its Doraleh Container Terminal held by the Port of Djibouti, the government said in a statement, the latest twist in a dispute with Dubai's government-controlled DP World dating back six years.In February, Djibouti ended a contract with DP World, one of the world's biggest port operators, to run its Doraleh Container Terminal (DCT), and seized control of the terminal.A London court later said DP World's contract to run the terminal was still valid.The port of Djibouti, PDSA, is itself majority-owned by the Djibouti state and in turn owns a two-

Image: Port de Djibouti

DP World: Djibouti Not Recognizing ‘International Rule of Law’

DP World, the fourth biggest port operator globally, issued a response saying Djibouti’s refusal to acknowledge a London Court of International Arbitration ruling demonstrates that the government did not “recognize the international rule of law.”The Arbitral Tribunal of the London Court of International Arbitration, LCIA, confirmed the illegitimacy of the Government of Djibouti’s action of seizing control of the Doraleh Container Terminal from DP World."The Court’s decision upholding…

File Image: a Typical DP World managed container facility. CREDIT: DP World

London Court Rules DP World Djibouti Contract "valid and binding"

Dubai's government said on Thursday the London Court of International Arbitration (LCIA) has ruled DP World's port container terminal contract in Djibouti was valid and binding.The government of Djibouti seized the Doraleh Container Terminal from DP World in February over a dispute dating back to at least 2012. Dubai government-controlled DP World has called the seizure illegal."The LCIA Tribunal has ruled that Doraleh Container Terminal's Concession Agreement 'remains valid and binding ...'" Dubai's government media office said in a statement, which did not state when the ruling was made.

Photo: International Maritime Organization (IMO)

Mauritius Signs Jeddah Amendment on Illicit Maritime Activity

Mauritius has become the 15th signatory to the Jeddah Amendment to the Djibouti Code of Conduct – the instrument developed and adopted by countries in the Western Indian Ocean and Gulf of Aden that has been a key factor in repressing piracy and armed robbery against ships operating in that region.The Amendment significantly broadened the scope of the Djibouti Code when it was adopted at a high-level meeting in Jeddah, Saudi Arabia in January 2017.It covers measures for suppressing a range of illicit activities…

© Igor Groshev / Adobe Stock

Middle East Oil & Gas Shipping Routes are at Risk

Saudi Arabia said on Thursday it was suspending oil shipments through the Red Sea after Yemen's Iran-aligned Houthis attacked two crude tankers, underscoring risks caused by the conflict in the world's top oil exporting region.Iran, in its row with the United States over sanctions, has also threatened to block the Strait of Hormuz, the other major strategic shipping route for oil from the region and the main route for Iranian crude exports.Below are facts about region's shipping routes:Bab al-MandebAny move to block the Bab al-Mandeb…

Photo: DP World

DP World Plans Logistics Facility in Ethiopia

Dubai-based ports operator DP World has revealed plans to set up a logistics facility in landlocked Ethiopia, a move that comes as the company is developing a port in neighboring Somaliland. A reuters report quoting the United Arab Emirates state news agency, WAM said that the Sultan bin Sulayem, DP World Group's chairman & CEO and chairman of Ports, Customs and Free Zone Corporation informed the media that the logistics complex in Ethiopia to cater to the landlocked African countries.

Massawa, a harbour city on the Red Sea coast of Eritrea (© robnaw / Adobe Stock)

Ethiopia: Reopening Roads to Red Sea Ports a Priority

Landlocked Ethiopia wants to make the re-opening of two roads connecting it to two of Eritrea's Red Sea ports a priority in the two nations' reconciliation process, a government spokesman said on Wednesday.In a move that ended a 20-year military stand-off, the Horn of African neighbors agreed on Monday to open embassies, develop ports and resume flights.The historic reconciliation could transform politics and security in the volatile Horn region, which lies along one of the world's busiest shipping routes.Ethiopian government spokesman Ahmed Shide said on Wednesday that the reopening of two cr

© homocosmicos / Adobe Stock

DP World Threatens Legal Action Over Djibouti Port Row

DP World threatened legal action against Djibouti after the government of the Horn of Africa nation ended a contract this year with the Dubai-owned firm for running a port facility, the company's spokesman said on Thursday.Djibouti ended the contract in February with DP World to run its Doraleh Container Terminal.The Dubai-based company said it issued its statement after "reports of the opening of the first phase of the Chinese built International Free Trade Zone, in violation of DP World's exclusive management rights.""DP World reserves the right to take all available legal actions, including

Photo: International Maritime Organization (IMO)

IMO on Women in Port Management

International Maritime Organization (IMO) is continuing its ongoing efforts to ensure women can reach top ranks in the maritime sector, through its Women in Maritime programme. The latest event was a two-week training course for female officials from maritime and port authorities of developing countries, in Le Havre, France (11-22 June). At the Institut Portuaire d'Enseignement et de Recherche (IPER), 23 female officials from 14 developing countries (Burkina Faso, Cameroon, Chad…

Image: DP World

DP World Not for Settlement with Djibouti

The Dubai-based port operator DP World said that it will not consider alternative legal options outside a court settlement in a dispute with the Djibouti government over the Doraleh Container Terminal. A DP World spokesperson said that the concession agreement remains in place, and the action taken by the Djiboutian government is subject to legal process in the International court of Arbitration in London. “We await the outcome of this process. The Doraleh terminal has a capacity of 1.6 million TEUs per year.

© kinwun / Adobe Stock

Somalia, Ethiopia to Jointly Invest in Red Sea Ports

Somalia and Ethiopia announced they were jointly investing in four seaports to attract foreign investment to their two countries, the latest move in a tussle for access to ports along one of the world's most strategic waterways.After Somalia's president Mohamed Abdullahi Farmaajo hosted Ethiopia's prime minister Abiy Ahmed for a meeting at the presidential palace in Mogadishu, the two leaders issued a joint statement of pledges to cooperate on everything from the development of infrastructure including roads linking the two countries to expanding visa services to promote cultural exchanges.The