GWADAR DEEP SEA PORT & CPEC

/GWADAR DEEP SEA PORT & CPEC
GWADAR DEEP SEA PORT & CPEC 2018-01-16T12:57:31+00:00

In 2015, it was announced that the city and port would be further developed under CPEC at a cost of $1.62 billion,with the aim of linking northern Pakistan and western China to the deep water seaport. The port will also be the site of a floating liquefied natural gasfacility that will be built as part of the larger $2.5 billion GWADAR-Nawabshah segment of the Iran–Pakistan gas pipeline project.Construction began in June 2016 on the GWADAR Special Economic Zone, which is being built on 2,292 acre site adjacent to GWADAR‘s port.[7] In late 2015, the port was officially leased to China for 43 years, until 2059.

GWADAR Port became formally operational on 14 November 2016, when it was inaugurated by Pakistan’s Prime Minister Muhammad Nawaz Sharif; the first convoy was seen off by Pakistan’s Chief of Army Staff, General Raheel Sharif.

Location

GWADAR Port is located in southwestern Pakistan near the Iranian border.

GWADAR Port is sitatuated on the shores of the Arabian Sea in the city of GWADAR, located in the Pakistani province of Balochistan. The port is located 533 km from Pakistan’s largest city, Karachi, and is approximately 120 km from the Iranian border. It is located 380 km (240 mi) away from Oman, and near key oil shipping lanes from the Persian Gulf. The greater surrounding region is home to around two-thirds of the world’s proven oil reserves. It is also the nearest warm-water seaport to the landlocked, but hydrocarbon rich, Central Asian Republics, as well as Afghanistan.

The port is situated on a rocky outcropping in the Arabian sea that forms part of a natural hammerhead-shaped peninsula protruding out from the Pakistani coastline. The peninsula, known as the GWADAR Promentory, consists of rocky outcropping reaching an altitude of 560 feet with a width of 2.5 miles that are connected to the Pakistani shore by a narrow and sandy 12 kilometre long isthmus. The isthmus separates the shallow Padi Zirr bay to the west, from the deep water Demi Zirr harbour in the east.

Expansion under CPEC

Under the China-Pakistan Economic Corridor plan, China Overseas Port Holding Company (COPHC) will expand GWADAR Port with construction of nine new multipurpose berths on 3.2 kilometres of seafront to the east of the existing multipurpose berths.COPHC will also build cargo terminals in the 12 kilometres of land to the north and northwest of the site along the shoreline of the Demi Zirr bay.

In total, COPHC has awarded $1.02 billion worth of contracts for expansion of the port.In addition to construction of nine berths and cargo terminals, plans for expanded port infrastructure also include several projects that will be financed by loans extended by Chinese state owned banks. The GWADAR Port dredging project will deepen approach channels to a depth of 14 meters from the current 11.5-meter depth, at a cost of $27 million. Dredging will enable docking of larger ships with a deadweight tonnage of up to 70,000 at GWADAR Port,while current capacity permits a maximum 20,000 DWT.Future plans call for dredging of the harbour to a depth of 20 meters to allow for docking of larger vessels.[ Also included as part of the CPEC infrastructure development package for port infrastructure is a $130 million breakwater around the port.

Ancillary infrastructure projects for the port will also be built as part of CPEC. A $114 million desalination plant will be developed to provide potable water to the city, while the Government of Pakistan will also contribute $35 million towards infrastructure projects in the GWADAR Special Economic Zone.A 19 kilometre-long dual carriageway known as the GWADAR East Bay Expressway will also be built at a cost of $140 million to connect GWADAR Port to the existing Makran Coastal Highway and the planned $230 million GWADAR International Airport.

It is expected that by 2017, the port will handle over one million tons of cargo, most of which will consist of construction materials for other CPEC projects.COPHC plans to eventually expand the port’s capacity to 400 million tons of cargo per year. Long terms plans for GWADAR Port call for a total of 100 berths to be built by 2045.(Source: Wikipedia)

GWADAR Special Economic Zone

The expanded port will be located near a 2,282 acre free trade area in GWADAR which is being modelled on the lines of the Special Economic Zones of China. The swathe of land was handed to the China Overseas Port Holding Company in November 2015 as part of a 43-year lease,while construction of the project began on 20 June 2016.The special economic zone is expected to employ approximately 40,000 people, with possibility for future expansion.

The special economic zone will include manufacturing zones, logistics hubs, warehouses, and display centres.Business established in the special economic zone will be exempt from Pakistani income, sales, and federal excise taxes for 23 years.Contractors and subcontractors associated with China Overseas Port Holding Company will be exempt from such taxes for 20 years,while a 40-year tax holiday will be granted for imports of equipment, materials, plants, machinery, appliances and accessories that are to be for construction of GWADAR Port and special economic zone

The special economic zone will be completed in three phases. By 2025, it is envisaged that manufacturing and processing industries will be developed, while further expansion of the zone is intended to be complete by 2030.On 10 April 2016, talking to The Washington Post, Zhang Baozhong, chairman of China Overseas Port Holding Company said that his company could spend a total of $4.5 billion on roads, power, hotels and other infrastructure for the industrial zone, which he said would be open to non-Chinese companies. The company also plans to build an international airport and power plant for GWADAR.

 

 

Announcement of CPEC

CPEC will be a strategic gamechanger in the region, which would go a long way in making Pakistan a richer and stronger entity than ever before.

— Firstpost (India) April 22, 2015

During the state visit of Xi Jinping to Pakistan in April 2015, he wrote in an open editorial stating: “This will be my first trip to Pakistan, but I feel as if I am going to visit the home of my own brother.” On 20 April 2015, Pakistan and China signed an agreement to commence work on the $46 billion agreement, which is roughly 20% of Pakistan’s annual GDP with approximately $28 billion worth of fast-tracked “Early Harvest” projects to be developed by the end of 2018.As a gesture of friendship, the Pakistani capital at that time was dotted with slogans and signboards such as “Pakistan-China friendship is higher than the mountains, deeper than the oceans, sweeter than honey, and stronger than steel”[41] – an oft repeated phrase coined by the Chinese to describe their deep ties to Pakistan.

 

Early Harvest” Energy Project

Capacity

Location

Pakistan Port Qasim Power Project.

1,320 MW (2 x 660 MW plants)

Sindh

Thar-l Project

1,320 MW (4 x 330 MW plants)

Sindh

Thar-ll Project and coal mine

1,320 MW (2 x 660 MW plants)

Sindh

Sahiwal Coal Power Project

1,320 MW (2 x 660 MW plants)

Punjab

Rahimyar Khan coal power project

1,320 MW (2 x 660 MW plants)

Punjab

Quaid-e-Azam Solar Park

1,000 MW

Punjab

Suki Kinari Hydropower Project

870 MW (expected completion in 2020)[205]

Khyber Pakhtunkhwa

Karot Hydropower Project

720 MW (expected completion in 2020)[206]

Punjab

China Power Hub Generation Company

2X660 MW

Balochistan

Thar Engro Coal Power Project

660 MW (2 x 330 MW plants)

Sindh

GWADAR coal power project

300 MW

Balochistan

UEP Windfarm

100 MW

Sindh

Dawood wind power project

50 MW

Sindh

Sachal Windfarm

50 MW

Sindh

Sunnec Windfarm

50 MW

Sindh

Matiari to Faisalabad transmission line

660 kilovolt

Sindh and Punjab

Matiari to Lahore Transmission Line

660 kilovolt

Sindh and Punjab

 

LIST OF MAJOR PROJECTS UNDER CPEC

Project

Notes

GWADAR Port

Phase 1 complete. Phase 2 under construction.

GWADAR-Ratodero Motorway (M-8)

Under construction. 193 km out of 892 km operational

Dawood wind power project

Fully operational.

E-35 Expressway (Hazara Motorway)

Under construction

Iran–Pakistan gas pipeline

Under construction.

Reconstruction of the Karakoram Highway

Under construction.

Multan-Sukkur Motorway (M-5)

Under construction

Karot Hydropower Project

Under construction.

Orange Line (Lahore Metro)

Under construction

Pakistan Port Qasim Power Project

Under construction

Quaid-e-Azam Solar Park

First phase complete, generating 400 MW of electricity.

Sahiwal Coal Power Project

In operation.

Western Alignment projects in Balochistan province.

Under construction.

Hakla–Dera Ismail Khan Motorway (M-13)

Under construction

Pakistan-China Fiber Optic Project

Under construction

Economic Corridor Support Force

Recruitment in progress

Main-Line 1 railway overhaul between Karachi and Peshawar

Planning studies underway

Havelian Abbottabad Dry Port

Planning studies underway

China-Pakistan Joint Cotton Bio-Tech Laboratory

Approved

Mansehra Muzaffarabad Mirpur Expressway

Approved

China-Pakistan Join t Marine Research Center

Approved

Hubco coal power plant project

Approved

GWADAR East Bay Expressway

Approved

GWADAR Hospital

Approved

GWADAR International Airport

Approved

GWADAR-Nawabshah LNG terminal and pipeline project

Approved

Jhimpir wind power project

Approved

Main Line 2 and 3 railway overhaul

Approved

Matiari to Faisalabad transmission line

Approved

Matiari to Lahore Transmission Line

Approved

Salt Range coal power project

Approved

Suki Kinari Hydropower Project

Approved

Thar Engro Coal Power Project

Approved

Thar Block II coal power project

Approved

Khunjerab Railway

Feasibility studies underway

China Pakistan Economic Corridor Businessman Networking

Under Growing

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