Cargo Business Newswire

Tuesday, October 6, 2015

Port of Virginia asks state for $350M to boost capacity at Norfolk terminal

The Virginia Port Authority will request $350 million from the General Assembly to expand capacity at Norfolk International Terminals to handle growing volume, according to state Transportation Secretary Aubrey Layne.

The improvements would enable the terminal to stack containers higher and closer together.

"The political will is there to invest in this port," Layne said recently. "We see that as a cornerstone of the governor's new Virginia economy."

The request will be part of Gov. Terry McAuliffe's infrastructure package to be presented to state lawmakers early next year. The money would come in the form of proceeds from bonds issued by the state in consultation with the authority. If all goes

according to plan, NIT would be able to handle an additional 696,000 TEUs a year by 2019; its current capacity is about 1.4 million a year.

The announcement of what some port officials refer to as "Plan B" coincides with ongoing talks between port officials and owners of the Virginia International Gateway terminal in Portsmouth. They're considering reworking the authority's $1 billion-plus, 20-year lease of the facility, now in its fifth year.

"There's probably no more financially efficient way for us to expand our capacity quickly than by doubling the size of VIG," said John Milliken, the board chairman.

For more of the Virginia Pilot Online story: hamptonroads.com