Boosting Peru’s Coal Export Capacity with Salaverry Port Expansion
In a move set to significantly bolster Peru’s export infrastructure, Salaverry Terminal Internacional SA, the concessionaire for Salaverry Port, has secured approval to expand its storage facilities.
This expansion, valued at nearly US$11 million, is primarily aimed at increasing the capacity to handle anthracite coal from the mineral-rich regions of La Libertad and Ancash. The project, led by Peru’s Private Investment Promotion Agency (PROINVERSIÓN), represents a key step in strengthening the port’s role as a critical hub for the country’s mineral exports.
Why Salaverry Port Matters for Peru’s Economy
Salaverry Port, located on Peru’s northern coast, plays a pivotal role in the nation’s trade and logistics landscape. In 2023, the port managed a substantial 3.19 million tons of solid bulk, with anthracite coal accounting for over 42.5% of this volume. Anthracite, a high-grade coal prized for its efficiency and low emissions, is a major export product for Peru, particularly from the La Libertad and Ancash regions.
The importance of Salaverry Port is further underscored by its strategic location, serving as a gateway for exports to key global markets. The upcoming storage expansion is a response to growing global demand for anthracite, positioning the port as a more competitive and reliable logistics hub.
Expanding Storage Capacity
The US$10.94 million investment will be directed towards constructing an 8-hectare dedicated storage area for anthracite coal. This facility will streamline the entire process from coal reception to storage, screening, and dispatch, ensuring more efficient handling of this vital export. Trucks transporting coal from the mining centres in La Libertad and Ancash will have direct access to this new facility, significantly improving logistics and reducing turnaround times.
To further enhance operational efficiency, the project also includes the development of 1,350 metres of paved and signposted access roads. These upgrades will provide smooth and safe vehicle movement to and from the storage area, mitigating potential bottlenecks during peak operational periods. Construction is set to commence in August 2024, with the facility expected to be fully operational by the first quarter of 2025.
The Broader Impact on Peru’s Mining and Export Sectors
The expansion of Salaverry Port’s storage facilities marks a significant boost not just for the port, but for Peru’s broader mining and export sectors. Anthracite coal, due to its high carbon content and energy efficiency, is a sought-after commodity in international markets. By improving storage and handling capacity, Peru is better positioned to meet this rising demand and secure more favourable trade terms.
This project also highlights Peru’s growing emphasis on upgrading its export infrastructure to remain competitive globally. The investment aligns with broader national strategies aimed at attracting private investment into critical logistics and infrastructure sectors, which are vital for sustaining long-term economic growth.
Navigating Environmental and Social Considerations
With any large-scale industrial project, particularly one involving coal, environmental and social concerns are inevitable. While details are still emerging, it is expected that the storage expansion will incorporate modern environmental safeguards to manage dust and emissions, ensuring that the surrounding communities are minimally impacted.
PROINVERSIÓN has a track record of promoting projects that balance economic growth with environmental sustainability. The concessionaire will likely adhere to stringent environmental guidelines to mitigate the effects of coal handling and storage, ensuring that the expansion aligns with Peru’s broader environmental goals.
Construction and Operational Milestones
The timeline for the expansion is ambitious yet achievable. Construction is scheduled to begin in August 2024, with a targeted operational date of Q1 2025. Given the scale of the project and its significance to Peru’s export economy, close monitoring and timely execution will be crucial. Industry stakeholders will be watching closely to see how this development unfolds, particularly in terms of the operational efficiency gains it promises.
Once operational, the expanded facilities are expected to enhance throughput at Salaverry Port, reducing delays and improving overall service quality. This could pave the way for further investments and expansions, positioning Salaverry as a key player in the region’s logistics network.
A Forward-Looking Perspective
The nearly US$11 million expansion at Salaverry Port is more than just an infrastructure upgrade—it’s a strategic move that signals Peru’s intent to bolster its position in the global anthracite market. By investing in critical storage and logistical capabilities, the country is setting the stage for sustained growth in its mining exports, which are crucial for driving economic development.
As construction progresses and the new facilities come online, Salaverry Port is poised to become a more competitive and reliable gateway for Peru’s mineral wealth. This project is not just about meeting current demands but also about future-proofing the port for continued success in a rapidly evolving global marketplace.
