The Arawak Cay Port development is about three months behind its original construction schedule, its chief executive explaining that issues with water reservoirs at the site and dredging had led to the delay.
“The project initially was to be completed by end of year, with the intent of being operational by January,” Arawak Port Development’s (APD) chief executive, Michael Maura Jr, said at the recent launch of the company’s much anticipated $10 million IPO.W
“We had issues with water reservoirs. They were supposed to be removed by September 1. They are only now just coming out.”
Mr Maura said the removal of the reservoirs had hinged on the Water and Sewerage Corporation cancelling its Andros water barging contract with the Titus.
“That’s four months behind schedule right there. We, by the end of February, will be in a sate of being operational, and in March we expect to relocate commercial shipping from Bay Street to the port. By March we expect to have cargo operations here,” Mr Maura said.
“I would say we are three months behind our original plan, but in terms of budget we are on budget financially.” APD has an $83 million budget for construction of the port and inland break-bulk facility at Gladstone Road, and the IPO prospectus says it has spent some $59 million, or 71 per cent of this sum, as of the offering date. The port will be completed by the end of the 2012 third quarter.
Mr Maura added that during the dredging process, the contractor, American Bridge, had hit rock.
“Our marine contractor hit hard rock and hit it hard. It was situation where we had to get a company to come and blast that rock. They were supposed to be completed in August, but they didn’t finish until a month ago. That was an expense that was unforeseen. We had to pay more to get hat taken care off,” the APD chief executive explained.
Mr Maura said civil works at Arawak Cay were about 35 per cent complete, while marine works were “just about done”.
APD has one crane currently, and has already purchased two others. According to Mr Maura, APD will employ about 60 employees, with 20 on staff thus far.
He added that the move to the 56-acre Arawak Cay port will provide greater efficiency and a smooth process for Bahamas Customs, who will be afforded greater control at the new Nassau Container Port.
According to Mr Maura, Customs will be able to place a hold on a container with the push of a button. “The relocation of shipping is going to make business easier,” he said, with the new port operating between the hours of 8am and 4pm so as to alleviate the afternoon traffic.
As for the inland terminal at Gladstone Road, Mr Maura said that facility is about 70 per cent complete. It will house less than container load (LCL) cargo (items that are insufficient in quantity or weight for standard freight rates), where customs brokers will be able to collect cargo on behalf of the customer.
Cargo-carrying trailers during designated hours will be allowed to transport goods back and forth between the Arawak Cay location to the Gladstone Road warehouse.
“The inland terminal is about 70 per cent complete. In discussions with the contractor they told me that I can expect to have the whole warehouse available and signed over to me by February. It’s essentially done, they just have to deal with some of the utilities. The administration facility will probably be ready in May,” Mr Maura said.
He added that a lot of the infrastructure being used to facilitate the inland terminal will also help future development in the area by the government.
By NATARIO McKENZIE (tribune242)
