The world’s polar bear capital could soon be the centre of Canada’s infrastructure push.
What happened: Dubai’s state-owned shipping giant DP World has inked a memorandum of understanding to explore a potential role in developing Manitoba’s Port of Churchill. The firm will look into how it could link its global logistics network to the northern port’s operations.
DP World already has a significant presence here through its Canadian subsidiary, including operations at the Port of Prince Rupert, the third-busiest seaport in Canada.
Why it matters: The feds have designated the Port of Churchill expansion a project of national interest, but fast-tracking will require help footing a projected $57 billion bill. That’s where the participation of a foreign entity with a vested interest in Canadian infrastructure comes in handy.
The reason the expansion is so nationally interesting? The port is projected to become a lot busier as Arctic waterways are increasingly serviced year-round, making it a vital route to ship liquefied natural gas and critical minerals to the Middle East and Europe.
Yes, but: The Port of Churchill is the rare project getting any sort of foreign commitment. While Canada has been courting foreign cash like mad, the feds don’t have enough places to spend it. A prospectus at September’s federal investment summit said that just 15 of the 167 projects pitched there were shovel-ready; meanwhile, a Financial Times piece from this summer reported that Ottawa isn’t prepared to spend a $70 billion UAE investment.—QH
