The operator of an Oakland container terminal has filed for bankruptcy just 13 days after Ports America announced it would exit the terminal.
Outer Harbour Terminal LLC, formerly known as Ports America Outer Harbour, announced on January 19, 2016, that it was returning the terminal back to the port in order to focus its West Coast strategy on Los Angeles, Long Beach, the Pacific Northwest and Western Canada.
At that time, Ports America said that it would continue to provide vessel services for 30 days and then take an additional 30 days to transition out of the terminal.
On February 1, 2016, the Port of Oakland released a statement criticising Outer Harbour’s decision to file bankruptcy.
“We’re deeply disappointed in the action today by Ports America,” said Port of Oakland executive director Chris Lytle, “they made a decision to close their business in Oakland. Since then, we’ve been negotiating with them in good faith for a smooth, orderly transition that protects the interests of shipping lines, cargo owners and others who depend on the terminal. It’s a shame they’ve taken this step.
The port said it is finalising plans to redirect ships and cargo to other Oakland marine terminals when Outer Harbour closes.
The port said in a January 2016 is considering using the terminal for non-containerised operations.