In brief
- On 19 March 2014, Somaliland Sun reported the government's MOU with Bollore for Berbera port was set to expire on 31 March 2014.
- The minister said an open international tender would be considered if no deal was reached by the deadline.
- The report does not establish that any deal was signed, a tender was issued, or works have begun or been completed since.
On 19 March 2014, Somaliland Sun reported that the Somaliland government's memorandum of understanding with French port operator Bollore for the port of Berbera was set to expire on 31 March of that year. The report, by Yusuf M Hasan and based on an interview broadcast by Somaliland National TV, cited Commerce and Investment Minister Dr Mohamed Omar as saying the government wanted "a substantial investment" for Berbera, described as the country's main port, to take a greater role in the regional economy.
According to the article, Dr Omar said that if no deal was reached by the end of March, the government would consider an open international tender and widen the process. The minister's statements are attributed to the Somaliland Sun report; they were not independently verified.
The article also cited unnamed sources, characterised as independent and close to the government, as saying other investors were interested in Somaliland ports development. One such investor was identified as International Container Terminal Services Inc (ICTSI), a Philippines-based port operator. According to Somaliland Sun, ICTSI had recently taken over Port Sudan and partnered with Australia-based Anglo Ports to pursue a bid for a $1.2 billion port project at Webb Dock East, Australia. The article also reported ICTSI's market capitalisation as more than $5 billion, with a portfolio of 27 marine terminals in 19 countries. These profile figures appear in the source without dates and may not reflect the company's status at the time of the report or since.
Somaliland Sun further reported that Bollore African Logistics had previously enjoyed the favour of the Hargeisa government, with a contract attended by President Ahmed Mahmud Silanyo during a visit to France, leading to expectations of arrangements for works initiation. However, the article also described visits by Foreign Affairs Minister Mohamed Bihi, Commerce and Investment Minister Dr Mohamed Omar, and Berbera port General Manager Ali Horhor to various African countries where Bollore operates, for onsite investigations. The article's author considered a negative report from those officials likely, which would indicate talks were not proceeding as previously thought.
In the source article, no confirmed outcome is reported after the 31 March 2014 deadline. The claims about other interested investors come from unnamed sources and are not presented as established fact. The known status of Berbera port development is therefore limited to the statements and reports published on 19 March 2014.
Frequently asked questions
Which operators have shown interest in Berbera port?
Bollore had a memorandum of understanding with the government until 31 March 2014. Unnamed sources cited by Somaliland Sun said ICTSI and other European and Middle East operators were interested, but no formal process or award is confirmed.
What is the status of Berbera Port expansion and management?
As of the 19 March 2014 report, negotiations with Bollore were ongoing with a 31 March deadline. The government said it would consider an open international tender if no deal was reached. No subsequent outcome is reported in the source.
What was the role of the Somaliland government in the negotiations?
Commerce and Investment Minister Dr Mohamed Omar said the government wanted substantial investment for Berbera and would widen the process to an international tender if the Bollore MOU expired without a deal, according to the report.