The Panama Maritime Authority (AMP) has signed a contract for a new container terminal on the Atlantic side of the Panama Canal with the Chinese consortium Panama Colon Container Port (PCCP).

The PCCP project, invested by Shandong Landbridge Group and its partners, consists of two parts: the construction of a 2.5 million TEU container terminal and the development of additional real estate which could include liquefied natural gas (LNG) facilities or other energy projects. The construction of the terminal in Colon will be executed by the Chinese giant CCCC Group and the design of the piers by Beijing-based Port Design Institute (PDI).

The PCCP project is “the first fresh investment from Beijing in Panama,” said Kenneth Zhang, legal representative of PCCP.

Hong Kong-based Hutchison Port Holdings had won the contracts for the terminals of Balboa and Cristobal in 1997 that are administrated by Hutchison subsidiary Panama Ports Co.

Panama Colon Container Port box terminal will feature four berths with a total quay length of 3,900 feet and a depth of 59 feet.

“We look at the project on long term and we feel pretty good with the investment,” said Zhang. “It will be the first terminal [in Panama] designed for new post-panamax vessels. With the Panama Canal expansion, the future of Panama is bright, even though we know the maritime sector presently suffers a global crisis but we have a different reading for the future.”