Korean infrastructure and engineering company Hyein E&C plans to invest an estimated USD500 million into the expansion of the Slavyanka port in the Russian Far East, the Russian Far East Investment Promotion Agency (IPA) announced at the end of January. The company has finished its feasibility study on the project and submitted it to the regional authorities.
Hyein E&C’s project involves building a multipurpose terminal to transport containers and grain, plus developing a liquefied natural gas (LNG) export terminal with an estimated annual transshipment capacity of 1 million tonnes, IPA said.
The Slavyanka port expansion is part of an anchor project for the Primorye-2 international transport corridor, IPA stated. This corridor will be used to transport goods between China, Japan, Korea, and Russia. Its main transit route will go between Jilin and Hunchun in China, to Kraskino and Zarubino in Russia, IPA added.
The transport corridor was launched in test mode in 2017. IPA estimated that its cargo base potential was about 23 million tonnes of grain and 15 million tonnes of containerised cargo by 2030. Primorye-2 is one of two transport corridors between China and the Russian Far East, providing the former’s northeastern provinces with the shortest route to Primorsky Krai, Russia.
“We expect that Korea will benefit from [the project] by getting access to the Russian market, while Russia can achieve some modernisation in the service sector,” commented Leonid Petukhov, general director of IPA.
The port expansion should create approximately 100,000 new jobs and generate product and services with added value close to USD2.8 billion per year, according to IPA estimates.