Billion-Dollar Megaterminal at Port of Santos Poised to Handle Largest Ships

The proposal for the Tecon Santos 10 container terminal, set to be developed in the STS10 area at the Port of Santos’ Saboó quay, adjacent to Valongo Park, requires the winning bidder to build the necessary infrastructure to accommodate the world’s largest vessels. These include Triple-E class ships, which measure 400 meters in length, 59 meters in beam, and 73 meters in height, with a carrying capacity of up to 18,000 TEU (twenty-foot equivalent units).

According to the draft contract, one of the concessionaire’s mandatory investments is the construction of a berth capable of handling these massive vessels, which have yet to call at Santos. Currently, the port can receive New Panamax-class vessels (366 meters long with a capacity of 14,000 TEU), but not at full capacity due to insufficient infrastructure and depth. At Tecon Santos 10, the berth must be long enough to accommodate three New Panamax vessels and one Panamax-class vessel (294 meters and 5,000 TEU) simultaneously. The required dredging depth is 17 meters.

Expansion Plans and Investment Requirements

Documents released by the National Waterway Transportation Agency (Antaq) indicate that the Tecon Santos 10 quay must have two berths totaling 823 meters by the fourth year of the contract, a third berth extending 1.2 km by the sixth year, and a fourth berth reaching 1.5 km by the eighth year. The estimated investment in the terminal is R$ 5.6 billion for a 25-year lease, with the possibility of extension.

By the eighth year of the contract, the lessee must invest in a container and general cargo yard with circulation lanes capable of handling 3.5 million TEU per year, as well as additional yards (back area) of at least 130,000 square meters. Other required improvements include drainage, paving, an electrical grid, lighting, and fire prevention systems. The facility must also feature gantry crane beams to support transtainer operations (container-handling cranes).

The company awarded the lease must also construct a 87,800-square-meter traffic management yard 50 km from the terminal by the sixth year and develop a truck reception and dispatch area by the eighth year. This area must include automated gates and a scheduling system to prevent congestion on external access roads to the port.

The following chart puts into perspective container exports and imports at Brazil’s Port of Santos between January 2022 and January 2024. This information comes from DataLiner, a Datamar intelligence product.

Container Exports & Imports | Port of Santos | Jan 2022 – Jan 2024 | TEUs

Source: DataLiner (click here to request a demo)

Rail Connection Requirement

The draft contract for Tecon Santos 10, published by Antaq, also stipulates the construction of a railway spur connecting the terminal to the port. Alternatively, the concessionaire may opt to pay an additional fee of R$ 24.5 million to the Santos Port Authority (APS) in lieu of building the rail connection. The deadline for either constructing the rail link or paying the fee is the eighth year of the lease.

Additionally, by the fourth year of the contract, the lessee must install a water treatment system and a power substation with easy access for the port authority. The new infrastructure must also provide public lighting for Avenida Engenheiro Augusto Barata, known as “Retão,” in the Alemoa district.

Public Hearing and Auction Process

Antaq will hold a virtual public hearing on Tuesday (18) at 2:30 p.m. regarding the lease of Tecon Santos 10 in the STS10 area of the Port of Santos. The session will be broadcast live on the agency’s YouTube channel.

Conceived as a mega-terminal, the facility is expected to increase the port’s container throughput by 50%. The auction is scheduled to take place between October and December this year.

The bidding process will be conducted in person, with the highest concession fee serving as the primary criterion for selecting the winning proposal. The lease covers an area of 621,900 square meters at Saboó quay, on the right bank of the port complex. The contract outlines mandatory investments and an expected annual handling capacity of 3.5 million TEU.

“The project was recently restructured by the Ministry of Ports and Airports (MPor) and Antaq and is designed to be the largest terminal at the Port of Santos, solidifying its role as a key hub for container handling and general cargo storage within the port complex,” MPor stated in a press release.

Expert Analysis and Public Consultation

Rodrigo Paiva, director of Graf Infra Consulting and professor of MBA Port Management at Fundação Getúlio Vargas (FGV), emphasized the need for adjustments in the project’s design to ensure the desired capacity and efficient vessel turnaround.

“A maneuverability study will be essential to balance the terminal’s development with planned expansions by other operators. Efficient yard rotation must also be ensured to meet the projected capacity,” he noted.

The public consultation period remains open until 11:59 p.m. on March 24 and is accessible exclusively via an electronic form available on the Antaq website.

Legal drafts and technical documents related to Tecon Santos 10 can be accessed at bit.ly/3ReoYvx. Digital attachments, such as maps, plans, and photos, may be submitted via email at anexo_audiencia022025@antaq.gov.br, provided the sender’s identification is included within the designated deadline.

Cruise Terminal Relocation

The future Tecon Santos 10 concessionaire will be required to pay an initial concession fee of R$ 1.19 billion to subsidize the relocation of the Giusfredo Santini Passenger Terminal, managed by Concais, from Outeirinhos to Valongo. The new cruise terminal will be built offshore, adjacent to STS10, in front of Valongo Park.

The Santos Port Authority (APS) revived the offshore terminal project in October, returning to the original 2022 proposal after the federal government decided to auction the entire STS10 area for container operations, leaving no land-based space for Concais.

Source: A Tribuna 

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