Today the official delegation from Hyundai Merchant Marine (HMM) has visited Algeciras and met the executives of the Port Authority of the Algeciras Bay (APBA). At the working meeting the parties have discussed the procedure of the acquisition of the semi-automated container terminal Total Terminal International Algeciras (TTI Algeciras) by the South Korean shipping company. The meeting was headed by APBA President Manuel Morón and HMM Executive Vice President Kim Choong Hyun.
As we wrote in November 2016, HMM was chosen as preferred bidder in the sale of TTI Algeciras, which was previously operated by Hanjin Shipping, another South Korea’s container carrier officially declared bankrupt in February 2017. In mid-May HMM confirmed the acquisition of 100% of the terminal’s share capital for KRW 117.6 bln (USD 105 mln or EUR 96 mln), subject to approval by APBA.
HMM, which previously purchased other Hanjin’s port assets – in Long Beach and Seattle (20%), Tokyo (100%) and Kaohsiung (100%) – commented that TTI Algeciras is one of the more lucrative pieces of the former company. It is the second largest (after APMT’s facility) container terminal in the port of Algeciras, Southern Spain, with an annual capacity of 1.86 mln TEU. The terminal’s quay has an 18m draft and is equipped with 8 STS cranes allowing to handle the newest generation of 18,000 TEU-plus megaships. Its yard is operated with 32 Automatic Stacking Cranes on rails and 22 shuttle carriers.
Another advantage of the facility is the room for expansion. TTI Algeciras is located at Phase A of the Isla Verde Exterior area, right next to Phase B, the reclaimed plot of 35 hectares where the port aims to construct the third container terminal.
HMM will be allowed to operate the terminal until July 2040, when the concession contract with APBA expires.