DP World fires up Doraleh dispute

Industry Database

DP World has reiterated that its concession agreement for the Doraleh Container Terminal (DTC) remains in force, warning that the government’s seizure of the facility doesn’t give the right to any third party to violate the terms of the concession agreement.

The statement came in the wake of news reports on the opening of the first phase of the Chinese-built International Free Trade Zone, which DP World said is in violation of DP World's exclusive management rights.

A DP World Spokesperson said: "This is yet another clear example by the Djiboutian Government of violating its contractual obligations and the rights of foreign investors.”

The spokesperson warns that DP World reserves the right to take all available legal actions, including claims for damages against any third parties that interfere or otherwise violate its contractual rights.

On 22 February, the Government of Djibouti seized control of the terminal,

DP World has commenced an arbitration against the Government of Djibouti before the London Court of International Arbitration and is awaiting the outcome of this process

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