Southern port companies' infrastructure spending continues to climb, with Port Otago and Lyttelton Port of Christchurch (LPC) ordering a total of more than $30 million of container handling equipment last week.
LPC is still negotiating with insurers over payments for earthquake rebuilding, with progress payments to date at $53 million, while Port Otago's spending is the first phase of a $100 million 10-year plan, much of it related to channel-widening to accommodate larger vessels.
On Tuesday last week, Port Otago announced $14 million in infrastructure spending on a new tug and two mobile container straddle cranes, followed on Friday by LPC announcing more than $16 million in spending, on a new wharfside crane and four straddles.
LPC will buy a fourth ship-to-shore gantry crane to handle the growing container volumes at the port and four new diesel electric straddles to increase its fleet from 18 to 22, all commissioned and built by Liebherr Container Cranes.
LPC chief executive Peter Davie said container trade had continued to grow, up 15.6% during the past financial year and by about 22% during the past two years.
''For this financial year, the port anticipates achieving container volumes of 350,000 TEU [20ft
equivalent units], which will represent a record total surpassing last year's record of 330,000 TEUs,'' he said in a statement.
For Port Otago's full-year to June 2012, container handling was down 23% at 172,000, while for its half year to December report, container numbers were up 7%, at 84,000.
Mr Davie said commodity exports, such as dry and refrigerated dairy goods and frozen meat and vegetables, were forecast to keep rising.
''Imports are also rising, and are tipped to continue their upwards path over the long-term as Christchurch rebuilds after the 2010-2011 earthquakes,'' Mr Davie said.
LPC shares, of which Port Otago maintains a 15.5% blocking stake, were trading around $2.95 on Friday; worth about $46.6 million to Port Otago.
