DP World Awards 400 million Pound Container Port Build Contract

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DP WorldDP World today signs a 400 million pound contract to build the first phase of a new port at London Gateway, the most technically advanced container port in the world, integrated with Europe's largest logistics park.

This is the first major contract to be awarded in the £1.5 billion project, due to be built over the next 10 to 15 years. The contract is over five years, and will see the construction of the first phase of the port's quay providing three berths and over 1.2 kilometres of quay in a joint venture between Laing O'Rourke and Dredging International. The new port will eventually handle 3.5milion TEU (twenty foot equivalent units), providing a much needed increase in capacity for the UK's container terminals.

The South Essex project is currently set to be the largest creator of new jobs in the UK, delivering over 12,000 in the coming years, and is the largest investment in the South East of England.

Chief Executive of London Gateway, Simon Moore, said: "This contract is a major milestone in constructing the port. In an economic climate where the building industry is experiencing a sharp slow down, this is great news for Essex and the UK in general.

"London Gateway is vitally important for today's UK economy. It will deliver the most efficient and technologically advanced port in the world and much needed deep sea capacity for the UK."

London Gateway is the UK's first deep sea container port for over 25 years and will change the way millions of consumer goods are transported around the country. By integrating the new container port with a logistics park, many everyday goods will be sent to the nation's shops without having to be hauled on a truck to a distribution centre often situated inland hundreds of miles away from a container port. Instead, goods will go straight into London Gateway's own logistics park to be sorted and then sent direct to shops.

By reducing the need for the goods to travel inland, the project will save 2,000 trucks from the UK's highways every day, trucks which normally travel from a port and then return with an empty container to be put back onto a ship. DP WorldDP World estimates that by cutting out this inefficient part of the logistics process, London Gateway will take 52 million truck miles off the UK's highways every year, reducing congestion, saving time, fuel and curbing carbon emissions.

Using new technology, London Gateway will aim to move fifty percent more containers per hour on and off ships than is currently being achieved in the UK. Containers will be transferred automatically from the quay into a fully automated storage area. This efficiency increase will allow the world's shipping lines to save valuable time and money. The new port will also offer other benefits such as being more sustainable, creating less light pollution and less noise for the surrounding areas.

Dredging the Thames will be carried out to enable the world's largest ships to access the port.

The dredging work will allow many other users of the River Thames to benefit by allowing increased access closer to London.

Commenting on the contract award, Mr Moore added: "We needed to find the right combination of construction company and dredging specialist - those that have top-quality experience and a world class reputation - to meet all our requirements. We believe we have found them in Laing O'Rourke and Dredging International."

Laing O'Rourke Chief Operating Officer Tony Douglas said: "We are delighted to have won the tender to help deliver such a hugely important injection of confidence into the UK economy. We look forward to working closely with DP WorldDP World in ensuring, together, we create a world-class facility of which we can all be proud."

Dredging International's CEO, Mr. Alain Bernard, said: "We are honoured and proud to be given this opportunity to participate in this major infrastructure project that will give a substantial and long term boost to the UK economy. Dredging International's team will deploy the latest equipment to ensure all aspects of the dredge are carried out to meet the UK's guidelines."

Construction work will begin later this year at the 1,500 acre site, just 25 miles from central London on the former Shell Haven oil refinery at Stanford-le-Hope near Thurrock, South Essex. The logistics park, which will offer 9.5million square feet, is due to open in the latter half of 2010, with the first ships arriving in early 2011.

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About DP World
DP WorldDP World is one of the largest marine terminal operators in the world, with 45 terminals and 13 new developments across 29 countries (1). Its dedicated, experienced and professional team of nearly 30,000 people serves customers in some of the most dynamic economies in the world.

DP WorldDP World aims to enhance customers' supply chain efficiency by effectively managing container, bulk and other terminal cargo. The company constantly invests in terminal infrastructure, facilities and people, working closely with customers and business partners to provide quality services today and tomorrow, when and where customers need them.

In 2007, DP WorldDP World handled more than 43.3 million TEU (twenty-foot equivalent container units) across its portfolio from the Americas to Asia - an increase of 18% on 2006.

It has global capacity of more than 54 million TEU, which is set to increase significantly in coming years with a committed pipeline of expansion and development projects in key growth markets, including India, China and the Middle East. Capacity will rise to around 90 million TEU by 2017. www.dpworld.com

About Laing O'Rourke:
Laing O'Rourke is the UK's largest privately-owned construction company, operating across Europe, the Middle East, Asia and Australasia. Through a 31,000-strong directly employed labour force, the Group delivers some of the most challenging construction projects in the world, including Heathrow Terminal 5, the Channel Tunnel Rail Link (St Pancras) and Al Raha Beach, Abu Dhabi. Laing O'Rourke is a member of the CLM consortium, charged with programme management for the London 2012 Olympic and Paralympic Games.

www.laingorourke.com

About Dredging International:
Dredging International is one of the operating companies of Belgium-based DEME-Group, a world leader in dredging, hydraulic engineering and environmental projects. Staff and crew at DEME amount to 3.500, working on the five continents. In 2007 DEME realised a turnover of 1,31 billion Euro and an operational cash-flow (EBITDA) of 259,4 million Euro. With 80 major dredges and some 200 auxiliary vessels, the group operates one of the most modern, performing and versatile fleets in the world. As a group of specialised companies, DEME has the capability to offer and execute global solutions for its clients. The corporate tagline "Creating Land for the Future" stresses the orientation towards the future and the sustainable way of doing business at DEME.

For further information on London Gateway contact:
Philippa Green 
Mosaic Publicity
Tel: 01206 548100
Email: philippa@mosaicpublicity.co.uk

Dredging International and/or DEME Group
Hubert Fiers
Communications Manager 
DEME HQ Belgium
Tel: +32.475.29.08.29

To arrange an interview with Laing O'Rourke COO Tony Douglas contact:
Tony Maguire
Tel: +44 771 532 2913

For further information on Laing O'Rourke please contact:
Madano Partnership
Tel: 0207 593 4000 

Tony Maguire/Jeremy de Souza (Laing O'Rourke) 
Tel: 01322 296200

© Press Release 2008