AD Ports Group signed a Memorandum of Understanding (MoU) with Vale, a company that produces iron ore and nickel and is also a logistics operator in Brazil.
Through this MoU, the two companies aim to develop a mega hub in Abu Dhabi for industrial complexes that produce low-carbon products for the steelmaking industry for both the local and seaborne markets, with a significant reduction of CO2 emissions by 2035.
Captain Mohamed Juma Al Shamisi, managing director and CEO of AD Ports Group, commented, "The United Arab Emirates is committed to not only finding ways to reduce carbon emissions, but also to supporting all efforts aimed at positively affecting the global environment."
More specifically, the agreement will see an allocation of land and related services from KEZAD for the mega hub, in addition to the development and management of a state-of-the-art handling facility at Khalifa port.
Furthermore, AD Ports Group will develop and manage conveyor infrastructure to transport iron ore and finished products to and from Khalifa Port and KEZAD.
The agreement also includes a maritime collaboration to explore opportunities related to the management and operation of very large ore carriers (VLOCs) as well as other possible avenues of partnership.