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ABP and Tata Steel sign long-term Port Talbot agreement

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Tata Steel and Associated British Ports (ABP) have entered into a new and improved 10-year agreement in respect of the supply of raw materials to the integrated steelworks via the deep-water harbour at Port Talbot and the handling of export finished products through the Port of Newport.

The new agreement will provide additional opportunities for use of the north side of the jetty, following on from the lay-up of the deep-sea drill vessel Sertao during 2019. The new agreement will also facilitate improved access to port development land on the northern side of the port. It is envisaged that, taken together, these factors can help facilitate investment and create a number of new employment opportunities in the region.

“We are delighted to have secured this long-term agreement, with our valued customer Tata Steel, one of the major employers in Wales. Working together, we look forward to continuing to fuel the regional economy and support future job growth.” Andrew Harston ABP Director of Wales and Short Sea Ports

Ralph Windeatt, ABP Group Head of Business Development, added: “This new agreement will provide a great opportunity to attract new businesses to the area and create further jobs.

“Port Talbot benefits from a unique deep water harbour able to accommodate some of the world’s largest ocean vessels. It also provides large development sites, a highly-skilled workforce and links with local partners including Welsh Government and the local authority, which make it an excellent choice for investment from the energy, manufacturing and logistics sectors.”

Additionally, ABP will be working jointly on new projects with Tata Steel to build upon the forward-looking commercial relationship between both parties. Tata Steel has owned the steelworks in Port Talbot since 2007, a site which supports more than 4,000 jobs locally.

Martin Brunnock, Tata Steel Director of Strip Products UK, said: “For us the ability to bring in raw materials to Port Talbot and export our products globally via the Port of Newport is a vital business requirement.

“At the same time this agreement will allow land to be turned to good use for the creation of jobs in the area which is something we at Tata Steel feel passionate about.”

As well as supporting steel production in South Wales, the port of Port Talbot supports the regional economy by handling project and heavy lift cargoes, building aggregates and cargoes to support the offshore energy sector.