1. General Organisation of Sea Ports (GOP)1 Kingdom Of Bahrain General Organisation of Sea Ports Bader Hood Al Mahmood Head, Port Operations & Regulations

2. General Organisation of Sea Ports (GOP)2 Bahrain & the Sea: A Longstanding Relationship Bahrain is one of the oldest seafaring nations connecting the East to the West. Bahrain has traditionally owed its economic prosperity to 2 aspects of the sea: - Maritime Commerce - The Pearl Industry

3. General Organisation of Sea Ports (GOP)3 Sea trading history traceable back some 5000 years to the Dilmun Civilization in Bahrain Ideal hub for ancient shippers and traders in view of its ideal geographic location and its fresh water havens Later on, key destination for the Silk and Spice Road from Asia to the Arabian Peninsula, northern and middle Africa and Europe. Ancient Maritime Commerce

4. Mina Salman Port (MSP) Stage 1: MSP was opened in 31 st May 1961 with opening of its first deep-water wharf, which allowed up to six vessels to berth simultaneously. Stage 2: In 1976 and in view of the big increase in cargo, 4 portable jetties were flown in from Singapore. Stage 3: In 1979, a $170 million port development plan was initiated which made the port the first in the Gulf to have a dedicated container terminal. 4General Organisation of Sea Ports (GOP) Stage 1: 31 st May 1961 Stage 2: 1976 Stage 3: 1979

5. General Organisation of Sea Ports (GOP)5 Mina Salman Port Information Total Area868,120 sq. meters Terminal Storage4,100 Ground Slots 3 high Quay length1200 meters Quay depth10.5 meters Electric Reefer Point 150 Plugs... Mina Salman Port : This Port was built in 1962 and was the very first Commercial Port in Bahrain

6.  Port Location: The port is situated in a very condensed area which made the necessary expansion very difficult.  Draft Limitations: MSP can not receive ships with a draft of over 10 m. The channel cannot be dredged anymore because of the cap rock after which the sea water will mix with the sweet water below the sea bed.  Infrastructure: Mina Salman’s infrastructure aging and not economically feasible to invest in upgrading. 6General Organisation of Sea Ports (GOP) Now … … Limitations of MSP

7. General Organisation of Sea Ports (GOP)7 Steps …. to Improve the Maritime Industry

8. General Organisation of Sea Ports (GOP)8 Step 1 Develop Land for ports and logistics infrastructure

9. General Organisation of Sea Ports (GOP) 9 … Step 1: Develop an Infrastructure: Government launched a project south of Muharraq island which consisted of an industrial area and deep water port (KBSP) covering an area of 830 hectares. General Organization of Sea Ports Bahrain Logistics Zone (BLZ) Khalifa Bin Salman Port (KBSP)

10. General Organisation of Sea Ports (GOP)10 The new Khalifa Bin Salman Port provides the gateway to the northern Gulf

11. General Organisation of Sea Ports (GOP)11 Khalifa Bin Salman Port (KBSP) Strategic LocationEfficient and easy access to the upper Gulf markets through a fast, low-cost feeder network Capacity1,100,000 TEU (Phase 1) 2,500,000 TEU (Phase 2) Quay length1,800 m (900 m container berth expandable to 1.2 km) Area1,100,000 sq m Quay depth15 m CranesPost Panamax Terminal Storage10,800 Ground Slots, 5 Containers High Yard layoutRubber Tyre Gantry Electric Reefer Points840 Plugs The new Khalifa Bin Salman Port

12. General Organisation of Sea Ports (GOP)12 Step 2 Establish the Port Authority (General Organisation of Sea Ports – GOP)

13. General Organisation of Sea Ports (GOP) The General Organisation of Sea Ports (GOP) was established in December 2006 in pursuance of the Decree Law No. (61) For 2006 and Decree Law No. (28) For 2007 to replace the former upon privatization of the Mina Salman Port operations and the new Khalifa Bin Salman Port (KBSP) in future. 13General Organisation of Sea Ports (GOP) Mission  To regulate, develop and promote the Kingdom's maritime and logistics zones industries by applying international standards, and optimizing all opportunities for our clients.regulatedeveloppromote Vision  To be a catalyst for economic development through the provision of world- class ports and logistics zone facilities and related marine services.

14. General Organisation of Sea Ports (GOP) 14General Organisation of Sea Ports (GOP) Meeting public and private sector needs New international conventions/ legal instruments Increased shipping traffic Maritime Legislation An average 90i% growth n no. units flag state inspected since 2007 Member of Riyadh MOU on port state control Port/Flag State control Has 338 units registered Online Registration Changing from “closed” to “open” registry Ship Registry Training initiatives for Bahrainis to enter the maritime sector Frequent awareness seminars Marine notices National Capacity Building

15. General Organisation of Sea Ports (GOP)15 Regularly review all marine tariffs in the Kingdom Benchmark to region and major ports to ensure regional and global competitiveness Ensure Competitive Tariffs Regular monitoring and inspections of ports and private jetties Collect performance data of all ports and private jetties in Bahrain Ensure that Bahrain’s port facilities yield world class performance Port User Community Regulate and license all 60 Private Jetties in the Kingdom Regulate and license 80 different port users Coordinate, arbitrate and conduct regular meeting w. different port users Monitoring of Ports and Port Performance

16. General Organisation of Sea Ports (GOP)16 Step 3 Privatization of Ports’ Operations

17. General Organisation of Sea Ports (GOP)17  Bahrain made a decision to privatize its ports in June 2002.  In January 2005, the government requested for final bids from three companies.  On July 11 th 2005, APM Terminals was selected as preferred bidder to negotiate final terms and conditions.  On December 2006 the Government awarded APM Terminals Bahrain concession of 25 years covering Mina Salman and KBSP ports. Privatization: How did it happen?

18. General Organisation of Sea Ports (GOP)18  Better services.  Jobs opportunities.  Less turn time.  More productivity.  Government could use the operation’s expenses for other projects that benefits Bahraini citizens.  Bring in ports operation and maritime experience.  Better marketing programs and plans.  More transshipments. Privatization: What are the benefits?

19. General Organisation of Sea Ports (GOP)19 …… As a result

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23. General Organisation of Sea Ports (GOP)23 Thank you