Governor Terry R. McAuliffe on Wednesday announced that The Port of Virginia has signed a new, long-term lease for Virginia International Gateway (VIG) that clears the way for the port to begin work on doubling capacity at the deep-water container terminal.
“This is an historic event for The Port of Virginia,” McAuliffe said. “This new lease helps to put the port on the path to long-term sustainability which, in turn, will result in continued job creation, investment and revenue for the Commonwealth.”
The new lease, which was negotiated during a two-year period, will give the port oversight of and operating rights at the terminal until 2065. Further, the lease allows the port to begin work on a $320 million project to build the terminal’s second phase; construction will begin this year.
The lease is between the Virginia Port Authority (VPA) and Virginia International Gateway Inc., which is owned by Alinda Capital Partners and Universities Superannuation Scheme (USS). The lease is scheduled to go into effect on November 1.
Presently, VIG is processing 600,000 container lifts annually.
The terminal is served by eight ship-to-shore cranes and has on-dock rail with service provided by both CSX and Norfolk Southern.
The expansion will take an estimated three years to complete and result in a longer berth, an expanded rail operation, an expanded container yard and four new ship-to-shore cranes.