Update on the Panama Canal Expansion

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Update on the Panama Canal Expansion American Association of Port Authorities Alberto Alemán Zubieta Administrator Panama Canal Authority January 26, 2010 The Panama Canal 1914 The Panama Canal Today The Panama Canal 2014 Panama Canal Traffic and World Events US Housing- 350 Financial Crisis China (2007-2009) Enters WTO 300 Alaskan Oil (1980-1982) 250 Gulf War (1990- Suez Canal 1991) Re-opened 200 (1975) Suez Canal Iraq II World Closure Invasion War Korean (1967) 150 (1939-1945) War (1950-1953) Opening of Great Vietnam War Million Canal tons Canal Million Trans- 100 (1958-1975) Second I World War Depression isthmian Ports' strike (1929-1934) Oil (1914-1918) Pipeline in California Crisis (1983) (1979) "El Niño" and (2004) 50 First Oil Asian Crisis Crisis (1997-1998) 1973 0 1929 1935 1939 1945 1915 1917 1919 1921 1923 1925 1927 1931 1933 1937 1941 1943 1947 1949 1951 1953 1955 1957 1959 1961 1963 1965 1967 1969 1971 1973 1975 1977 1979 1981 1983 1985 1987 1989 1991 1993 1995 1997 1999 2001 2003 2005 2007 2009f Source: Panama Canal Authority Transits vs. PC/UMS Tonnage FY 1914 – FY 2009 PC/UMS Tonnage for Commercial Transits 299.1 4,832 9,931 18,940 23,227 FY 1955 FY 1975 FY 1995 FY 2009 14,342 Dredging Investment Program Accumulated Investment 1,570 (in millions of US Dollars) Locomotives 113 FY 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 113 142 126 207 115 144 233 92 347 51 Technology Rail System Tugboats Hydraulic Systems Average Canal Waters Time by Fiscal Year Global Average Canal Waters Time by Fiscal Year Global 36 31.6 32 30.0 28.5 28 24 23.1 20 Hours 16 12 8 4 0 2006 2007 2008 2009 Fiscal Year Expansion Program Update Expansion Program 15.8 Mm3 Components Atlantic Ocean Atlantic Post Panamax Increase the Maximum Existing Locks Operating Level of Gatún Lake Deepening & Locks widening of the Atlantic entrance ▼ Pacific Post Panamax Locks 26.7 m 27.1 m Access Channel ► Deepening & widening of the Gatun lake & Culebra Cut navigational channels Existing Locks ▼ 9.1 Mm3 Post Panamax Pacific Locks Access Channel Deepening & New Lockswidening► of the 48 Mm3 Pacific entrance Pacific Ocean Dimension of Locks and New-Panamax vessels Existing Locks Max Vessel: 4,400 TEU’s 33.5 m (110’) 32.3 m (106’) 12.4 m (39.5’) 55 m (180’) 12.8 m (42’) Beam 49 m (160’) 18.3 m (60’) New Locks Max Vessel: 12,600 TEU’s Pacific Access Channel Excavation of Cleaning of 146 Relocation of 3.5 km PAC 1 7.3 Mm3 hectares of MEC of Borinquen Road Deviation of 3.5 km of Excavation of Relocation of 1.3 km PAC 2 Cocoli River 7.4 Mm3 of Borinquen Road Cleaning of 190 Excavation of hectares of the PAC 3 8.0 Mm3 remainingT6 area Construction of Borinquen Dam Excavation of Cleaning of 80 15,367 Ton Met of Length 2.3 km PAC 4 26.2 Mm3 hectares of MEC piling Ridge 30 m Base 150 m Height 26 m TOTAL 48.9 Mm3 416 hectares 140Pacific Access Channel Dimensions 140 110Longitude 6.1 km (3.79 mi) 110 ELEVATION 80 Width PAC-1 80 50 218 m (715.2 ft) 50 PAC-2 PAC 3 20 PAC-4 20 Depth - 10 - 10 16.7 m (55 ft) - 40 - 40 0+175 0+675 1+175 1+675 2+175 2+675 3+175 3+675 4+175 4+675 5+175 5+675 6+175 6+675 7+175 Projects Underway Pacific Access Channel - PAC 1 Programmed 99.1% Current 99.1% Project Scope: 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% 7.3 Mm3 of earth removal, Cleanup of 146 ha of UXO disposal area 3 7.3 Mm excavated Relocation of 3.5 km of Borinquen Road Awarded : July 17, 2007 Amount: $40,431,196.00 MEC 1 146 Ha Cleaned-up Borinquen 13 Projects Underway Programmed 100% Pacific Access Channel - PAC 2 Current 99% 7.4 Mm3 excavated 0 10 20 30 40 50 60 70 80 90 100 Excavation Project Scope : Excavation of 7.4 Mm3 Relocation of 1.3 km of Borinquen Road Deviation of 3.5 km of Cocolí River. Awarded: November 27, 2007 Carretera Borinquen Río Cocolí CAP - 2 14 Projects Underway Pacific Access Channel - PAC 2 Borinquen Road - Phase III, Borinquen Road - Phase II, 80% completed by ACP 100% completed Borinquen Road Cocolí River PAC - 2 End of Cocoli River Deviation DecemberJulyOctoberApril 31, 2009 200926, 29, 2009 2009 Projects Underway Awarded: December 16, 2008 Company: Constructora MECO, S.A. Pacific Access Channel - PAC 3 Scope: 8.0 Mm3 Prorammed 39% Clearing 190 ha of UXO area Currentl 48% 3.35 Mm3 excavated 0 10 20 30 40 50 60 70 80 90 100 190 hectares cleaned-up PAC 3 MEC 190 Ha 140 140 110 110 80 CAP-1 80 50 50 CAP-2 CAP- 3 20 20 ELEVATION - 10 - 10 - 40 - 40 0+175 0+675 1+175 1+675 2+175 2+675 3+175 3+675 4+175 4+675 5+175 5+675 6+175 6+675 7+175 Projects Underway • Scope: 26.2 Mm3 Pacific Access Channel - PAC 4 • Receipt of proposals: 22-DEC-09 26.2 M m3 of dry excavation • Awarded: 7-JAN-10 • Ending date: 1,288 days as of the Programmed 5% order to Proceed (estimated 1-AUG-13) Current 5% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% PAC 3 PAC 4 PAC 2 PAC 1 Borinquen Dam 140 140 110 110 80 CAP-1 80 50 50 CAP-2 CAP 3 20 20 ELEVATION CAP-4 - 10 - 10 - 40 - 40 0+175 0+675 1+175 1+675 2+175 2+675 3+175 3+675 4+175 4+675 5+175 5+675 6+175 6+675 7+175 Borinquen Dam Pacific Access Channel Castled Miraflores Lake Clay seal Canal Expansion Dredging Components Dredging • Pacific entrance deepening and widening (9.1 Mm3) • Gatun Lake & Culebra Cut dredging (30 Mm3) • Atlantic entrance deepening & widening (15.8 Mm3) Total Volume: 54.9 Mm3 Projects Underway Pacific entrance deepening and widening (8.7 M m3) Programmed 42% 5.03 Mm3 dredged Current 59% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Awarded: April 1, 2008 Company: Dredging International Amount: $177.5 M Dredging Amount: 8.7 Mm3 Projects Underway Programmed 27% Gatun Lake and Culebra Cut dredgingActual 24% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Gatun Lake Scope: 30 Mm3 6.62 Mm3 dredged Barro Colorado Gamboa De Lesseps Island 300,000 lb = 136 Metric tons Projects Underway •Widening: of 198 m to Atlantic entrance deepening & widening 225 m (navigational Channel) Volume 15.6 M m3 Awarded to: Jan de Nul NV Date of award: September 25, 2009 Awarded amount: $89,617,317 Option: Additional 60 cm in $16,411,600 depth Turnoaround area for End of project: May 2013 PostPanamax Width: 225m (740´) ▶ •Canal width to 218 m (Approach channel - North) Design and Construction of the Locks Atlantic Pacific Excavation: Excavation: 15.6 Mm3 22 Mm3 Dredging: Dredging: 9.2 Mm3 861 Km3 Concrete: Concrete: 2.5 Mm3 2.3 Mm3 Total length: Total length: 2.2 km 2.7 km Reinforcing Reinforcing steel: steel: 123,000 T 170,000 T Lock Chamber Vessel size Gates and Gates and Length: 427 m LOA: 366 m valves steel: valves steel: Width: 55 m Beam: 49 m 30,000 T 37,000 T Depth: 18.3 m Draft: 15.2 m Post Panamax Locks Operation WSB 3 WSB 2 WSB 1 With the water saving basins the new locks will use 7% less Water Utilization Water water than the existing locks New Locks Existing Locks Clearing Atlantic Locks Area Clearing Atlantic Locks Area Clearing Pacific Locks Area Pacific Locks Area Impact of the Panama Canal Expansion WORLD MAIN LOGISTICS HUBS ROTTERDAM NY/NJ HAMBURG SHANGHAI BUSAN HAMPTON LA/LB RDS. SHENZHEN SAVANNAH ALGECIRAS FREEPORT HONG KONG KINGSTON DUBAI PANAMÁ SINGAPORE Panama is the main logistical, transportation and transshipment hub of the Americas. U.S. Ports Main Channel Depths Depths at Mean Low Water (MLW) U.S. East Coast MLW U.S. East Coast MLW Boston 40’ Everglades 44’ New York / New Jersey 45’ Manatee 40’ Philadelphia 40’ U.S. Gulf Baltimore 50’ Houston 45’ Norfolk 50’ New Orleans 45’ Wilmington 38’ U.S. West Coast Charleston 45’ LA / Long Beach 50’ Savannah 42’ Oakland Jacksonville 40’ 50’ Portland Tampa 43’ 40’ Miami 42’ Seattle / Tacoma 50’ Source: 2009 AAPA Directory Port Authorities Expansion Projects Location Project Estimated Completion Georgia Ports Authority Deepening of the Savannah River Channel 2014 from 42’ to 48’. Port of Miami Deepening draft from 42’ to 50’ and the 2014 construction of Port of Miami Tunnel Project to expedite delivery of goods. Philadelphia Regional Dredging the main shipping channel of the Within 5 – 7 Port Authority Delaware River from 40’ to 45’. years Port Authority of New Harbor deepening project to 50’; $10 Harbor York & New Jersey million approved to analyze alternatives deepening to for Bayonne Bridge (height: 151’). be completed in phases from 2010 to 2014. Port of Houston Authority The Bayport Container & Cruise Terminal All phases project (Phase 1 is completed); future completed in capacity of 2.3M TEU. 15-20 years Broward County’s Port Inauguration of Cruise Terminal 18 for Nov. 2009 Everglades Department megaships. Source: MERC with information provided by port Authorities, January 2010. Port Authorities Expansion Projects Location Project Estimated Completion Port of Palm Beach Development of logistics center for storage and distribution of cargo to the South Florida region.
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