“Future Strategic Developments at the Port of Melbourne”

Nick Easy Chief Executive Officer

Port of Melbourne Corporation

9 September 2014

1

2

Overview

!  Port of Melbourne facilities

!  Trade update

-  2013-14 trade performance

-  Trade drivers and forecast

!  Port development

- Port Capacity Project

- Container + automotive terminals

2

3

The Port of Melbourne today

3

3050 ship visits per year

7000 containers

and 1000 motor vehicles a day

$380,000 a day on port infrastructure in 2013-14

34 commercial berths

4

Port of Melbourne – facilities overview

4

International Containers

Bass Strait and

Breakbulk

Cruise shipping

Liquid bulk

Motor vehicles

Dry bulk and

Breakbulk

5

Trade growth milestones

-  Total container throughout of 2.5 million TEU

-  Container trade has increased by over 150% since 1997 (1 million TEU milestone)

-  The Port of Melbourne now handles an additional 4000 containers a day on average than it did in 1997

5

6

USA S. Korea

China

Thailand

Indonesia

Japan

New Zealand

Malaysia

Taiwan

Top 5 export markets - China (24.4%) - New Zealand (9.2%) - United States (6.9%) - Japan (5.9%) - Taiwan (4.7%)

Top containerised export markets

7

USA

Germany

China

Thailand

Malaysia

Japan

New Zealand

Top containerised import markets

Top 5 import markets - China (39.4%) - United States (9.7%) - New Zealand (5.9%) - Thailand (5.0%) - Malaysia (3.4%)

8

2013-14 Trade Performance

Containers 0.8% New motor vehicles 0.4%

Liquid bulk 1.0% Dry bulk 7.7%

8

9

Drivers of trade of growth

!  Population -  From 2001 to 2011, Melbourne gained

650,000 new residents -  Victoria added 107,000 people in the

year to 30 June 2013 !  Good rainfall -  strong correlation between rainfall and

grain commodities !  Regional economic performance -  Victoria accounts for 29% of Australia's

food and fibre exports -  Total value of $9.4 billion

9

10

Forecast trade growth

2025 = 5.5 million TEU

2012 = 2.5 million TEU

2007 = 2 million TEU

1997 = 1 million TEU

10

11

Port Capacity Project PoMC’s largest landside project since creation of Swanson Dock

!  Increased container and automotive capacity

!  Container handling returning to Webb Dock

!  Project is well into construction phase 11

1950s 2000s 2020s

Planned Capacity 2017  - 300,000 TEU 2018  - 1 million TEU rising to 1.4 million TEU

14

Container Terminal - aerial

Planned Capacity 2025 - 600,000 units 2040 - 1 million units

16

Webb Dock Auto Terminal - aerial

•  Offset quay line enables wide beam ships berthing at container terminal

•  920m wharf enables higher auto throughput

Container Operator

Appointed

(VICTL)

Auto Operator

Appointed

(MIRRAT)

PDI Operators Appointed

Patrick Autocare + Prix Car

18

Stakeholder engagement

!  Project Liaison Group

-  Includes industry, shipping, community groups, peak bodies and local councils

-  Headed by independent Chair

!  Trade Relocation Industry Group

-  Includes shipping lines, transport operators and industry representatives

-  Draws on industry expertise to manage trade relocation and minimise inconvenience

18

19

Project timeline

19

20

Project Delivery

21

Summary

!  Significant expansion of port facilities underway

!  Additional capacity will augment existing facilities

!  New container and automotive terminals

!  Strengthen Port of Melbourne’s position and service offering

21

22

For more information, please visit www.portofmelbourne.com

www.portofmelbourne.com