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Rail News: Intermodal

New Orleans port expands Ports America partnership

The expanded partnership could lead to the development of a new container terminal.
Photo – Port of New Orleans


The Port of New Orleans recently approved a resolution to expand its partnership with terminal operator and stevedore service provider Ports America.

The port will provide Ports America a 50-year lease to continue operating the Napoleon and Nashville avenue terminals. Ports America agreed to provide $66.5 million for infrastructure and equipment upgrades at the terminals to accommodate up to four new 100-foot-gauge container cranes. The work will support larger ships and higher volumes, port officials said in a press release.

The port — which manages the New Orleans Public Belt Railroad — also will provide Ports America a three-year right to assess and develop an off-dock gate, container yard, chassis depot and/or intermodal container transfer facility that would support existing or new container terminals.

The long-term lease and infrastructure agreements reached by the parties will bolster capabilities at existing terminals and open the door for expansion opportunities, port officials said.

"Our strengthened partnership supports the port's strategic vision to create long-term economic prosperity for the region and to reinforce our competitive advantage in the marketplace," said Brandy Christian, the port's president and chief executive officer.

The partnership also could lead to the development of a new container terminal. If the parties determine an expansion project is feasible at a new location, Ports America will provide a minimum of $300 million and receive a right of first negotiation for development and operating rights, port officials said.

Contact Progressive Railroading editorial staff.

More News from 12/28/2018