Naval ships from several countries anchor off shore while taking part in ceremonies marking the Canadian Navy's 100th anniversary in Victoria, British Columbia June 11, 2010. The ships are (L-R) Japan's JDS Atago, New Zealand's HMNZS Endeavour, United Sta
IN PHOTO: Naval ships from several countries anchor off shore while taking part in ceremonies marking the Canadian Navy's 100th anniversary in Victoria, British Columbia June 11, 2010. The ships are (L-R) Japan's JDS Atago, New Zealand's HMNZS Endeavour, United States USS Sampson, Canada's HMCS Winnipeg and Australia's HMAS Newcastle. Reuters/Andy Clark

The first trial run of Egypt’s "new Suez canal" has been successful, according to its state media. The formal inauguration of the new shipping channel will be held on Aug. 6. Called as Suez Canal Axis, the new 72 km canal project aims at speeding up traffic along the existing waterway and in cutting the waiting period of vessels besides a new boost in revenues for Egypt.

During the trial, three container ships crossed the new waterway. One was an American ship heading to Egypt's Port Said from Saudi Arabia, second one was a Danish ship sailing to the United States from Singapore, and third was a Bahraini ship going to Italy from Saudi Arabia.

World Trade

The Suez Canal was built 145 years ago and is world's most heavily travelled shipping lanes and the pivotal source in international trade. It connects the Red Sea and the Mediterranean. The new canal is also part of the old canal. President Abdel Fattah al-Sisi hopes that the new waterway will heavily expand trade along the fastest shipping route between Europe and Asia. Sisi’s vision is to make the new canal a symbol of national pride and make a tool in combating Egypt's double-digit unemployment.

The old Suez Canal remains a vital source of hard currency for Egypt and served as a buffer in withstanding the slide in revenue from tourism and dipping foreign investment that followed turmoil from the Arab Spring uprising in 2011.

One More Canal

Mohab Mameesh, chairman of the Suez Canal Authority project also confirmed the successful test-run and said more would follow. Mameesh told the state owned TV that construction of another canal near the East Port Said port on the Mediterranean Sea would start soon, after the New Suez Canal is inaugurated. The new waterway involved 37 km of dry digging and 35 km of expansion and deepening of the Suez Canal to speed up the moving vessels.

The new canal’s development is also intertwined with the development of the surrounding area into an industrial and commercial hub dotted with ports and shipping services. The new canal will double Suez revenues from the present $5.3 billion (AUD 7.3 billion) to $13.2 billion (AUD 18 billion) in 2023, according to official estimates.

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