DUBAI: October 14, 2016. DP World has become a "significant investor" and Board member of transport technology company Hyperloop One following a reported US$50 million deal for continued research and development.
In August DP World signed an MoU with the Los Angeles-based company to analyze the value of using Hyperloop systems to move containers from Jebel Ali Port to a new inland container depot in Dubai.
Hyperloop uses electric propulsion to accelerate a passenger or cargo vehicle through a tube in a low-pressure environment. The autonomous vehicle levitates slightly above the track and glides at faster-than-airline speeds over long distances.
The signing was followed in September with the publication by Hyperloop of a feasibility study to link the city of Hunchun in northeast China with the Russian port of Zarubino.
Commissioned by Caspian Venture Capital, a US$300 million fund set up by Summa Group chairman Ziya Magomedov, the report said it would take four years and an estimated US$1.5-2.1 billion to build a 65 km Hyperloop line between the two cities.
In the same month, DP World and Summa signed an MoU to explore investment opportunities in ports, special economic zones and inland logistics facilities in the Russian Federation – including Vladivostok and Zarubino.
The Russian privately-held investment company wants to build a new 'Big Port' at Zarubino, 18 km from the border with China, to handle exports of Chinese consumer goods and Russian grain. Total cost is estimated at US$2.6-3.0 billion according to the company.
Now Summa chairman Magomedov has also joined the Hyperloop Board with Bin Sulayem, who commented: "We are exploring many innovations in our sector and our collaboration with Hyperloop One is just one example illustrating our support of creativity and our commitment to research and development, using technologies to make our operations more efficient."
Hyperloop CEO Rob Lloyd added: "We are excited to continue our strong partnership with DP World as well as welcome Sultan Ahmed Bin Sulayem to our Board of Directors. These latest moves strengthen our company from a global perspective as we move towards showcasing the world's first Hyperloop early next year."