Bahri says Yanbu Grain Terminal starts production; costs up 7%

A Bahri vessel

National Shipping Company of Saudi Arabia (Bahri) inaugurated and started commercial production at the Yanbu Grain Handling Terminal, in Yanbu Commercial Port, on Dec. 22.

The grain terminal is operated by National Grains Co., which is a joint venture between Bahri and Saudi Agricultural and Livestock Investment Co. (SALIC).

In a statement to Tadawul, Bahri said the delay in launch was due to the implementation of additional requirements to the project to improve the flow of operations, along with the new construction that will allow future potential expansions.

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This led to an in increase in total cost of the project by 7% over the previously allocated SAR 412.5 million. This is not a material change, Bahri said.

Grain delivery service to customers within the Kingdom has been added to the project. This will offer closer proximity to customers, resulting in improved customer experience and enhanced project profitability margins, the statement noted.

According to data compiled by Argaam, Minister of Environment, Water and Agriculture, and, Chairman of SALIC, Abdulrahman Al-Fadhli, inaugurated the Yanbu Grain Handling Terminal on Dec. 22.

The terminal has a capacity of up to 156,000 tons and includes 12 silos with a total capacity of 96,000 tons and a 650-meter conveyor belt, in addition to its ability to unload directly from ships with a capacity of 800 tons per hour and an annual handling capacity exceeding three million tons of grain.

National Grains Co. was established in 2020 as a strategic partnership between Bahri and SALIC with a total value of SAR 412.5 million.