Saif Powertec signs deal with Abu Dhabi-based firm to operate cargoes

Saif Powertec said it signed an agreement with an Abu Dhabi-based container feeder company Safeen Feeders to engage in shipping cargoes between Fujairah of United Arab Emirate and Chattogram port.

Both the companies are in discussion to operate eight sea-going bulk carrier vessels to carry dry bulk cargoes such as aggregates, coal, steel and fertiliser between ports in the South and Southeast Asia, said a senior official of Saif Powertec.

The capacity of each vessel is 55,000 Deadweight Tonnage (DWT) each and companies will collaborate on cargo services for a period of 15 years.

Saif Powertec estimates that its cargo freight sales revenue per vessel would be US$ 18 million or about Tk 154 crore per annum. Net profit from the operation would be $ 1.8 million or Tk 15.48 crore per year per vessel for the 15-year period, according to its disclosure at the Dhaka Stock Exchange (DSE).

"Both companies will jointly own and operate bulk shipping services that will promote maritime trade between the MENA (Middle East and North Africa) region and Asian Subcontinent," said AD Ports Group, which operates Safeen Feeders.

"The scope of the agreement also covers future areas of collaboration to jointly develop and invest in the maritime infrastructure and projects of Bangladesh and the UAE," it added.

Shares of Saif Powertec declined 3.68 per cent to Tk 39.3 yesterday at the DSE.

The company posted 60 per cent higher profit year-on-year to Tk 37.5 crore in July-December 2021 from the previous year, according to its financial statement.

Saif Powertec handles export and import containers at the Chattogram Container Terminal and the New Mooring Container Terminal at the Chattogram port. It is also building multi-modal container depot on the land of the Bangladesh Railway (BR) at Halishahar in the port city and a multipurpose jetty at the Mongla port.