Landmark port lease for Saldanha Bay
55 hectares of Port of Saldanha Bay leased to Freeport Saldanha for 25 years
SOUTH AFRICA: Transnet National Ports Authority (TNPA) and Freeport Saldanha have signed a 25-year lease agreement to unlock strategic industrial development opportunities within the Port of Saldanha, strengthening the support of marine services and manufacturing sectors.
The agreement covers approximately 55 hectares in the Southern Precinct of the Port of Saldanha, providing the long-term certainty required to attract investment and support the expansion of industrial activities linked to South Africa's only port-based Special Economic Zone (SEZ).
The lease follows the conclusion of a Commercial Terms Framework between TNPA and Freeport Saldanha that established the foundation for the agreement.
Within the agreement, Freeport of Saldanha's investment pipeline is valued at approximately R6.9 billion and spans several key sectors. Projects currently under consideration cover marine and bunkering services, industrial development and manufacturing, and energy infrastructure, including liquefied natural gas (LNG) import and storage capacity.
“Investors commit capital where there is certainty, and this lease provides it. With 25 years of secured port-linked land, Freeport Saldanha can now offer investors one coordinated package of industrial land and TNPA facilitated access to port facilities.”
“Investors commit capital where there is certainty, and this lease provides it. With 25 years of secured port-linked land, Freeport Saldanha can now offer investors one coordinated package of industrial land and TNPA facilitated access to port facilities. Our focus is to turn this agreement into signed investor leases, construction activity and jobs for Saldanha Bay and the wider West Coast,” said Freeport Saldanha Chief Executive Officer Xola Sithole.
The finalisation of the partnership between TNPA and Freeport Saldanha is expected to enhance coordination between the port activities and industrial development. This will enable investors to leverage the advantages of a world-class port integrated with a specialised industrial ecosystem. The development will support the utilisation of strategic port land, unlock future freight and logistics demand, and create conditions for long-term investment and industrial expansion.
Noting the strategic nature of the agreement, TNPA Chief Executive Mohammed Abdool described the role of infrastructure partnerships as critical enablers of economic growth.
“This agreement is more than the leasing of land. It is about creating the conditions necessary for investment, industrial development and long-term growth. By strengthening the relationship between the Port of Saldanha and the Special Economic Zone, we are creating a platform that will attract investment, support exports and unlock opportunities across the logistics value chain,” he said.
The agreement further supports Transnet's Reinvent for Growth Strategy, which focuses on enhancing port efficiencies, optimising infrastructure utilisation, attracting investment and sustaining long-term business growth by positioning South Africa's commercial seaports as leading logistics hubs in Southern Africa.
PHOTO: Freeport Saldanha Board Chairperson: Stieneke Jensma, Freeport Saldanha CEO Xola Sithole, Transnet National Ports Authority Chief Executive: Mohammed Abdool and Transnet Group Chief Operating Officer: Solly Letsoalo.
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