By Flemming Emil Hansen
COPENHAGEN--The port-operating arm of Danish shipping and oil
company A.P. Moller Maersk A/S (MAERSK-B.KO) Friday signed an
agreement with China's Ningbo Port Co. for the joint development
and operation of facilities at Ningbo port, with Maersk investing
about $508 million in the joint venture.
Maersk's investment constitutes 25% of the equity stake in the
development project, which aims to expand the port's capacity to
handle both more container traffic and vessels of a size that
includes Maersk's Tripple-E ships currently being built.
With the project, Ningbo, China's third-largest port, as well as
Maersk, will be able to capitalize on strong growth in China in
coming years.
The deal was signed by APM Terminals Chief Executive Kim Feifer
and Ningo Port Co. Chairman Li Linghong at a ceremony in connection
with the three-day state visit to Denmark of China's President Hu
Jintao.
At the same signing ceremony, Maersk also inked a $500 million
loan agreement with China Development Bank.
- Write to Flemming Emil Hansen at
flemming.hansen@dowjones.com
