The Port of New Orleans has secured $800 million toward a $1.8 billion Lower Mississippi River container facility.
Ports America and Mediterranean Shipping Company investment arm Terminal Investment Limited recently provided funding for the Louisiana International Terminal facility, which will be capable of handling 2 million twenty-foot equivalent units (TEUs) annually (TiL).
Construction of the terminal will also be aided by Port of New Orleans commitments, as well as state and federal funding. When the terminal is finished, the joint venture will operate it.
“This public-private partnership with the Port of New Orleans, TiL, and Ports America has the potential to become one of the most impactful economic development projects in our state’s history,” said Louisiana Gov. John Bel Edwards in a statement. “It increases Louisiana’s ability to attract new investment from companies competing in the global marketplace by leveraging the economic power of our greatest natural resource, the Mississippi River.”
Ports America, based in New Jersey, is the largest marine terminal operator and stevedore in North America, with more than 33 ports and 70 locations.
Mediterranean Shipping Company, based in Switzerland, is one of the world’s leading container shipping lines, sailing on over 260 trade routes and calling at 520 ports.
A 350-acre container facility with a 3,500-linear-foot wharf on more than 1,000 acres is planned for the Louisiana International Terminal. According to officials, the Louisiana International Terminal will take advantage of the deeper 50-foot Lower Mississippi River Ship Channel to help vessels avoid height restrictions from Mississippi River bridges further up the river.
The project intends to serve vessels of all sizes, including extremely large container ships. The Louisiana International Terminal is expected to open in 2028.
“We are very excited to announce this partnership, which will strengthen the Port of New Orleans’ competitiveness and position it as a key facility in the Gulf of Mexico,” said Tom Van Eynde, TiL’s investment director for North America, in a statement. “… The container trade at the port is primarily comprised of export cargo, making it an outlier among US ports, which are typically import-heavy.”
According to Van Eynde, the terminal will attract new container trades, giving local industry access to cost-competitive shipping options.
“The construction of this facility cements TiL’s commitment to further strengthening American infrastructure by making the Port of New Orleans accessible for larger vessels and increasing its throughput capacity in a sustainable way that will bring measurable benefits to the community,” Van Eynde said.
