Chile approves $4.45 billion expansion of San Antonio port

Chile has taken an important step towards implementing one of the largest infrastructure projects in its history, after regional authorities unanimously approved the environmental permit for the extensive expansion of "Puerto Exterior" at the San Antonio port.

The approval from the Environmental Impact Assessment Commission of the Valparaíso region marks a significant milestone for the $4.45 billion project, which aims to transform the Empresa Portuaria San Antonio complex into a modern megaport capable of accommodating the largest container ships in the world.

The project, defined by the Chilean government and implemented by EPSA, aims to significantly increase cargo flow in the central macro-region of the country starting from the second half of the next decade.

"This initiative will allow the country to provide the port infrastructure necessary for Chile to maintain the competitiveness of its foreign trade," EPSA stated in its announcement following the approval.

The "Puerto Exterior" project will include approximately 4 kilometers of breakwater, extensive dredging works, reclaimed terminal areas, and two semi-automated container terminals, each 1730 meters long. Construction will be carried out in four phases, linked to the projected demand for cargo transport.

Once fully completed, Puerto Exterior is expected to handle up to 6 million TEU per year, equivalent to approximately 60 million tons of cargo annually, while simultaneously accommodating up to eight 400-meter-long container ships, among the largest vessels currently in operation.

The first phase, consisting of an 865-meter-long berth with an annual capacity of 1.5 million TEU, is expected to be operational around 2036.

Investment in the project is supported by a large public-private partnership. EPSA will invest approximately $1.95 billion in maritime infrastructure, including the breakwater, dredging, auxiliary areas, road access, and environmental protection measures. The remaining $2.5 billion is expected from private terminal operators through future concession agreements related to the construction and operation of the terminals.

The environmental approval concludes a six-year review process that included several rounds of public participation, environmental supplements, and consultations with indigenous peoples.

EPSA stated that the project is designed to help Chile avoid future port congestion, rising logistics costs, and loss of competitiveness in regional and global supply chains as ship sizes increase and trade volumes grow.

Port authorities also emphasized environmental protection measures, including the safeguarding of the nearby ecosystem of the urban wetland Lagunas Ojos de Mar and plans to create the Lagunas de Llolel park.

Construction contracts are expected to be signed later this year as the project moves into the next phase of development.