Ukraine Unveils 40-Year Concession Plan for Black Sea Port of Chornomorsk

Ukraine recently announced a groundbreaking 40-year concession plan for its vital Black Sea port of Chornomorsk. The details of this ambitious project were revealed by Ukrainian government officials at an investment forum held in Warsaw, Poland just last month.

The Ministry of Development delegation shared that the primary objective of the lease initiative is to revamp and expand the terminal infrastructure at the Chornomorsk port. The concession will specifically focus on two key terminals within the port – a container terminal and a multipurpose terminal. These terminals have the potential to handle a substantial amount of cargo, with projections estimating up to 760,000 TEU and over 5 million tons annually. The concession auction is scheduled to take place in the second quarter of 2025, with a contract expected to be finalized with the winning bidder by the fourth quarter of this year.

Collaborating with the International Finance Corporation (IFC) and the European Bank for Reconstruction and Development (EBRD), the Ukrainian government has meticulously prepared the lease project, complete with tender documents outlining participation terms, risk structures, and state support guarantees.

Opportunities for Investors

Andrii Kashuba, Deputy Minister for Development of Communities and Territories, emphasized the resilience of the seaport sector amidst ongoing military threats. He highlighted the container terminal concession in Chornomorsk as a prime opportunity for investors to engage in the burgeoning logistics system of the Black Sea region.

The lease agreement aligns with the government’s broader strategy to enhance the Black Sea corridor, fostering cargo route diversification and improving customs efficiency. The Black Sea corridor was launched in August 2023 following Russia’s withdrawal from the UN-brokered Black Sea Grain Initiative. This alternative trade route has proven to be robust, enabling Ukraine to export nearly 73 million tons of grain over the past two years.

Strategic Importance of Chornomorsk

As a pivotal maritime hub within the Greater Odessa port complex, Chornomorsk plays a crucial role in facilitating Ukrainian global trade. The ports of Greater Odessa, including Pivdennyi, Chornomorsk, and Odessa, collectively handle a significant portion of Ukraine’s cargo volumes. In the first quarter of 2025, Ukrainian ports processed a total of 23 million tons of cargo, with the Greater Odessa ports accounting for 20.7 million tons. Notably, Pivdennyi handled 10.6 million tons, Chornomorsk processed 6.6 million tons, and Odessa managed 3.5 million tons, according to data from the Ukrainian Sea Ports Authority.

With the unveiling of the 40-year concession plan for the Chornomorsk port, Ukraine is poised to embark on a transformative journey towards modernizing its maritime infrastructure and bolstering its position in the global trade landscape.