Cape Town - Transnet had awarded three major contracts worth just over R2.2 billion to local, foreign and black economic empowerment companies to get the long-awaited development of Ngqura port and the Coega industrial development zone near Port Elizabeth under way, Jeff Radebe, the minister of public enterprises, said yesterday.

Speaking to the media after the cabinet had approved the move, Radebe said the investments "represent the first major and significant maritime and civil engineering project in South Africa, and indeed Africa, for some time. It will be the largest single government-sponsored infrastructure development in recent times ... and should provide comfort and confidence to any outside investors interested in the Coega project".

It signified the government's commitment to the development of the Eastern Cape and it was expected that the new port in Algoa Bay would receive its first ships in September 2004.

A R1.4 billion contract for Marine civil engineering had been awarded to Ngqur Harbour Contractors, a joint venture between German-based Hochtief Construction, Concor Holding, and Ngqura Empowerment Contractors. The latter was made up of Africa construction of Johannesburg and three Port Elizabeth-based companies - Siyaya Civils and Building Contractors, Sakhisizwe Construction and Matota Macingwane, Pambo Civil engineering Contractors and Consultants.

A R100 million contract for sand bypass works had been awarded to Connec Joint Venture, made up of Concor Holdings and Ngqura Empowerment Contractors.

A R480 million dredging contract had been awarded to Jan de Nul, a belgian-based company.

A minimum of 30 percent black empowerment participation in the maritime civil works and sand bypass contracts had been stipulated by Transnet while dredging firms were required to source fuel from black companies. Spending on the supplies from black firms was expected to amount to about R571 million.

With acknowledgements to Lynda Loxton and Business Report.