FACTSHEET MAKING ONE OF THE GLOBAL EPICENTERS FOR TRADE, MANUFACTURING AND LOGISTICS

May 2018 EXPANSION PLANS Since the inauguration of Khalifa Port by His Highness Sheikh Khalifa Bin Zayed Al Nahyan, President of the UAE, on 12 December 2012, it has been recognized as one of the most modern and technologically advanced ports in the region as well as being a success story as one of the UAE’s world-class infrastructure projects. Growth is a key priority for the port which is why it has embarked on its ambitious expansion plans.

• In August 2016, Ports launched its strategy to add a 1,000-meter quay wall to Khalifa port and deepen its channel and basin to -18.5 meters to accommodate the world’s largest container and cargo ships for the first time in Abu Dhabi. o The construction of the new quay wall, completed by National Marine Dredging Company in less than a year, involved the placement of over 6,000 blocks with each block weighing close to 70 tonnes. o The quay wall will create an additional 600,000 square meters of space to be designated for cargo handling. • There is over AED 10 billion of committed capital into Khalifa Port by and its partners. This includes AED 4 billion by Abu Dhabi Ports in the next 5 years, and AED 4 billion by MSC in the next 30 years while over AED 2.7 billion will be invested by COSCO over the lifetime of its agreement with Abu Dhabi Ports.

RECENT MILESTONES Abu Dhabi Ports has recently signed several agreements with renowned global industry giants to establish their presence at Khalifa Port. As a result of these partnerships. Khalifa Port will jump to being one of the top 25 ports worldwide in handling containers. MSC Mediterranean Shipping Company

• In May 2018, Abu Dhabi Ports signed a 30 year concession agreement with MSC Mediterranean Shipping Company, a Swiss-based leader in global transportation and logistics, to establish a new container terminal in the UAE located at Khalifa Port. o MSC will invest a total of AED four billion (USD 1 BN) over the life of concession agreement in operational equipment.

• Developments include: o An increase in the current 12 ship-to-shore cranes to make a total of 25 of some of the most technologically advanced cranes in the world o Deepening the berths to make Khalifa Port the first port in the region capable of receiving the largest shipping vessels in the world that specialise in bulk cargo shipment.

• In addition, Khalifa Port’s capacity is expected to increase from 2.5 million TEUs to 8.5 million TEUs in five years.

COSCO Shipping

• In 2016, Abu Dhabi Ports signed with CSP, the world’s largest container operator, who chose Khalifa Port as the hub for its operations in the . o With CSP on board the annual capacity of Khalifa Port will rise to 8.5 million TEUs.

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o In addition to attracting investors from Eastern Asia, it will increase Khalifa Ports’ competitiveness and ease the way for more partnerships with companies and friends in China and East Asia, which will draw further investments into Abu Dhabi. o Abu Dhabi Ports and CSP held their ground-breaking ceremony in Q4 2017 for the CSP Abu Dhabi Container Terminal • CSP and Abu Dhabi Ports also signed an agreement for the development of the largest container freight station in the region. o The new Container Freight Station will provide Abu Dhabi trade with a state of the art facility offering bonded LCL/FCL consolidation and de-consolidation services, cross stuffing, cargo weight reduction, short term warehousing for de-consolidated cargo as well as easy connectivity with the container terminals in Khalifa Port.

Autoterminal Khalifa Port

• Autoterminal, a member of the Noatum Maritime Group, and Abu Dhabi Ports, have signed a shareholder agreement for the creation of a joint venture company called Autoterminal Khalifa Port, to manage the roro/car terminal in Khalifa Port under a 15 year concession. o The 300,000m2 car terminal, with more than 550m of dedicated quay will provide a geo-strategic location for import traffic as well as excellent communication with other main UAE cities. o Autoterminal will provide the necessary technology, IT software, Procedures for Quality, Environment & Safety in the Workplace, as well as its international commercial network o In addition, the new specialized terminal will offer added-value services to all its car terminal users for PDI inspections, vehicle customization and other technical services.

FURTHER INTEGRATING KHALIFA PORT WITH KIZAD AND KPFTZ The close proximity of Khalifa Port to KIZAD and Khalifa Port Free Trade Zone, and the integration between the entities have allowed Abu Dhabi Ports to offer shipping and trade customers a compelling value proposition the combines the competitive advantages of each. This has resulted in an influx of foreign direct investment and partnerships with local industry players.

Jiangsu Demonstration Zone

• Since July 2017, a total of 15 companies have signed lease agreements for land in the Jiangsu demonstration zone in the free zone (KPFTZ) of Abu Dhabi (KIZAD), with investments totalling $1 billion. • This places KIZAD and KPFTZ in a prime position to be of value to the Chinese Belt and Road initative.

Recent agreements

• Shaheen Chem Investment LLC announced the signing of an agreement for the land lease of a two-phase chemical complex in the industrial zone with an expected investment of AED 4 billion. The plant will support the UAE’s growing chemical manufacturing sector and pioneer the production of ethylene dichloride in the UAE.

• Gulf Printing and Packaging, a subsidiary of Al Khat Packaging Co., officially inaugurated its new UAE base in KIZAD with an investment of AED 100 million. The new facility is located in the heart of the Food & Packaging cluster in KIZAD and aims to employ over 200 people when it reaches its full capacity.

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• DAC, a factory that manufactures aluminium rods and overhead conductors, was officially inaugurated in KIZAD. DAC’s facility has been built close to EGA’s Al Taweelah aluminium smelter, one of the largest in the world.

• Emirates Global Aluminium, the largest industrial company in the UAE outside oil and gas, has also signed a Memorandum of Understanding with Abu Dhabi Ports, to work together to develop opportunities for Abu Dhabi Ports to upgrade ports, logistics infrastructure and services abroad used by EGA to load raw materials destined for the UAE

New offerings: KIZAD Logistics City & KIZAD Construction City

• In March 2018, to respond to the demand for more flexibility from retailers, shippers and logistics companies, KIZAD launched the first “on-demand” warehouse solutions offering in the Middle East: KIZAD Logistics City. The new hub offers warehousing services in a pay-per-use model which allows potential customers to avoid capital expense.

• In addition, KIZAD Construction City also launched this year. The new hub will serve as an open yard space for construction materials and machinery for major building projects. The space will stock building materials for trade purchase purposes. Construction companies will be able to avail bonded areas and mainland solutions, bonded storage for imported and not- yet-required materials along with flexible-term lease contracts.

DIGITALISING TRADE – MAQTA GATEWAY Maqta Gateway, inaugurated in October 2017, is a transformational project that has set out to re- define Abu Dhabi’s trade services, processes and information exchange through a unified interface that connects various trade customers, including shipping agents, traders, custom brokers, freight forwarders and clearing agents, with entities integrated within the system locally and internationally. Role in new agreements

• Maqta Gateway is playing a vital role in working closely with Abu Dhabi Ports’ new partners to integrate these entities within the Maqta to provide a single window solution to customers with the same seamless service they have been enjoying. • Through this single window, customers can avail all the services offered under our recently formed partnerships. • With the presence of such a system, Maqta Gateway will be saving costs and time that would normally have been involved in integrating these entities.

Milestones in 2018

• Maqta Gateway announced the launch of the first Port Digital Innovation Lab, as part of its commitment to innovation, through providing a platform for creative minds in the UAE to develop innovative solutions and technological applications to meet trade and industry needs • Following the inauguration, Maqta Gateway has launched the Masaha mobile application; to provide KIZAD customers with diverse online mobile services. These include No Objection Certificate (NOC), Queries or Letter requests in a few taps on a mobile screen. Besides, this application allows users to track their submissions on the go and get minute to minute status updates. They can also locate their project sites and navigate various services. • Maqta Gateway is working with strategic partners such as the Port of Antwerp for technology projects such as global Track & Trace services and blockchain. • We also will be announcing the launch of an exciting technology project, developed completely by in-house resources and with global reach on 29 May 2018. • Maqta Gateway has already begun the efforts of integrating Maqta’s single window, with other international systems in China and Europe.

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FUJAIRAH TERMINALS In June, 2017, Abu Dhabi Ports signed a 35-year concession agreement with the Port of Fujairah to establish Fujairah Terminals. The new operational arm, wholly owned by Abu Dhabi Ports, was established with over AED 1 billion ear-marked for investment in equipment, and infra and super structure.

The agreement will complement services offered at both Khalifa Port and . It will also offer clients on the east coast more options, and allow the re-export of goods that arrive at Khalifa Port to India, Pakistan and East Africa.

Enhancement plans

• Abu Dhabi Ports is granted the exclusivity to enhance existing infra and super structure; in addition to managing all Container, General Cargo, RoRo and Cruise Ships in the Port. It further extends this exclusivity throughout the emirate of Fujairah for Container business. • Abu Dhabi Ports is currently developing the infrastructure of Fujairah Port, further enhancing its capabilities. • Deepening of berths to -18 meters to allow bigger vessels to come to the Fujairah Port. • Building an approximate 300,000 sqm yard of storage space. • Building an additional 1km quay to accommodate the expected growth in the number of ships arriving to the port, increasing shipping operations in the process. • Fujairah Port will also be equipped with new and advanced equipment such as STS post panama quay cranes, RTG’s as well as new IT systems, bringing efficiency to operations and better equipping it to meet the needs of global shipping companies and service operators in line with the highest international standards. • Maqta Gateway, a wholly owned subsidiary of Abu Dhabi Ports, is also currently engaged in developing a Port Community System that links port communities with various departments, facilities and operations.

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