Egypt’s General Authority for the Suez Canal Economic Zone (SCZONE) and the UAE’s AD Ports Group have signed a 50-year renewable usufruct agreement to develop and operate a 20-square-kilometre (sq km) integrated industrial and logistics park near Port Said on Egypt’s Mediterranean coast.
The park, to be known as ‘KEZAD East Port Said,’ will be developed in phases by AD Ports Group, with an estimated initial investment of $120 million allocated for Phase 1 works, including marketing, technical studies, and infrastructure.
Construction on the first 2.8 sq km phase is scheduled to begin by the end of 2025.
AD Ports Group will be responsible for financing, constructing, operating, and managing KEZAD East Port Said.
Phase 1 will also feature a 1.5-kilometre quay wall to support future cargo terminal operations.
Emirates Global Aluminium (EGA) and Egypt’s Hassan Allam Holding have signed memoranda of understanding as potential anchor tenants.
Hassan Allam will also explore further cooperation with AD Ports Group across additional industrial and logistics developments, including port-related projects in East Port Said and elsewhere in Egypt.
AD Ports Group has been active in Egypt since 2022, acquiring regional logistics and maritime firms such as Transmar, TCI, and Safina B.V. It has also secured long-term agreements to operate cruise terminals at Red Sea ports, and is building a $200 million multipurpose cargo terminal in Safaga under a concession from the Red Sea Ports Authority.
In December 2024, AD Ports Group appointed Hassan Allam Construction, the construction arm of Hassan Allam Holding, to build the Safaga multipurpose cargo terminal.
SCZONE manages four industrial zones and six seaports across a total area of 455 sq km. Since mid-2021, it has signed 274 investment projects valued at $8.3 billion.
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(Reporting by Eman Hamed & Marwa Abo Almajd; Editing by Anoop Menon)
(anoop.menon@lseg.com)
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