DP World signs 50-year deal to develop two Fujairah ports

Al Rughayalat and Dibba terminals will add container, vehicle and general cargo capacity outside the Strait of Hormuz.

DP World has signed a 50-year concession agreement with the Fujairah Ports Authority to develop and operate two multipurpose ports in the emirate, adding container, vehicle and general cargo capacity on the UAE’s Arabian Sea coast.

The agreement covers Al Rughayalat Port and Dibba Port and was signed in the presence of Sheikh Mohammed bin Hamad bin Mohammed Al Sharqi, Crown Prince of Fujairah.

The projects will provide additional port capacity outside the Strait of Hormuz and connect Fujairah more closely with DP World’s logistics network in Dubai and other parts of the UAE.

Al Rughayalat Port is planned to handle up to 2.5 million twenty-foot equivalent units, or TEUs, annually, according to details released alongside the agreement.

The terminal will also have annual capacity for 1.7 million tonnes of general cargo and 190,000 car equivalent units. It will be designed to accommodate ultra-large container vessels.

Dibba Port will add annual general cargo capacity of up to 3.6 million tonnes.

Both ports will be developed to handle multiple types of vessels and cargo, with dedicated logistics zones planned alongside each terminal for storage, distribution and onward transport.

DP World said the ports would be connected to Jebel Ali Port and the Jebel Ali Free Zone through its domestic logistics network, allowing cargo to move between Fujairah, Dubai and other markets.

Fujairah’s location on the Arabian Sea gives it direct access to international shipping routes without requiring vessels to pass through the Strait of Hormuz, one of the world’s most important energy and trade corridors.

The deal comes as Fujairah takes on greater strategic importance during regional disruption, with more cargo routed through the UAE’s east coast as the country seeks to reduce its reliance on trade corridors passing through the strait.

The new terminals are expected to operate alongside Jebel Ali rather than replace existing facilities, adding capacity on both the Arabian Gulf and Arabian Sea sides of the UAE.

Once operational, the projects are expected to increase DP World’s container-handling capacity in the UAE from 19.4 million TEUs to nearly 22 million TEUs.

Capacity for general cargo and roll-on, roll-off operations will also rise.

Yuvraj Narayan, DP World’s group chief executive, said the expansion would provide additional capacity as Jebel Ali operates at high utilisation.

“For cargo owners, it means greater flexibility, more choice and stronger supply chain resilience,” he said.

The developments will be delivered in phases, with construction expected to take between 24 and 30 months from the start of work. No investment value or precise opening date was disclosed.

Essa Kazim, chairman of DP World, said the agreement would deepen the company’s operations in the UAE and build on its existing presence at Jebel Ali.

Fujairah Ports Authority chairman Sheikh Saleh bin Mohammed Al Sharqi said the terminals would bring additional capacity and investment to the emirate.

The agreement forms part of Fujairah’s broader effort to expand its role as a maritime, logistics and energy centre.

The emirate already hosts oil storage, bunkering and shipping operations and has grown in strategic importance because of its position outside the Strait of Hormuz.

The new ports are also expected to increase demand for warehousing, road transport, freight forwarding and other logistics services, although DP World and the Fujairah Ports Authority did not provide forecasts for investment or job creation.