Report: Somalia Annuls DP World’s Contract with Somaliland

The federal government of Somalia has reportedly revoked the contract signed between the UAE-based port operator DP World and Somaliland, according to Reuters.

The move is being announced on the heels of the final agreement signed on March 4, 2018 by DP World and the Republic of Somaliland, an autonomous region of Somalia, to develop a greenfield economic free zone in Somaliland to complement the Port of Berbera’s growth.

DP World said that it expects to break ground on the 12 square kilometre free zone project, located next to the port, this year.

Furthermore, the parliament of Somalia is said to have passed a resolution banning DP World from working in the country due to the port operator’s breach of Somalia’s constitution and rules on foreign investment.

DP World is yet to provide World Maritime News with a statement on the matter.

The dispute arises in less than a month from neighboring Djibouti’s contract termination with DP World for the Doraleh Container Terminal (DCT).

The decision has prompted DP World to launch new arbitration proceedings in London against the Government of Djibouti as it dubbed the move illegal.

The Government of Djibouti, on the other hand, attributed the decision to the poor performance of the container terminal.

World Maritime News Staff

Share this article

Follow World Maritime News

In Depth>

Events>

<< Dec 2019 >>
MTWTFSS
25 26 27 28 29 30 1
2 3 4 5 6 7 8
9 10 11 12 13 14 15
16 17 18 19 20 21 22
23 24 25 26 27 28 29
30 31 1 2 3 4 5

Maritime Reconnaissance and Surveillance Technology

As varied threats in the Mediterranean Sea continue to proliferate, the need to advance…

read more >

2nd GREENTECH IN SHIPPING GLOBAL FORUM

Forum you will find out from the regulators, government bodies and major ports’ representatives what the near…

read more >

7th Annual Arctic Exchange

Every year the Exchange invites delegates from across the globe to come together to listen to key senior management teams…

read more >