Cargo Terminal 1 Advances Alaska Port Modernization

Construction of Cargo Terminal 1 has started at the Don Young Port of Alaska, advancing another part of the port’s $2.8 billion Port Modernization Program.

Cargo Terminal 1 timeline

The $977 million Cargo Terminal 1⁠ is planned for a site south of the existing cargo facilities. The terminal is expected to be finished in 2029. A second cargo terminal is scheduled to begin construction the same year and reach completion in 2032, according to a local news report. After the replacement cargo terminals enter service, the current facilities are due to be demolished.

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Petroleum terminal and rail access

The port also plans to build a dedicated petroleum terminal. Port officials said the facility would replace an aging and damaged terminal dating from 1965. In late April, the municipality of Anchorage received a $4.7 million federal Port Infrastructure Development Program grant⁠ to support planning and design work for the project.

Other parts of the modernization program have already been delivered. Completed work includes another petroleum and cement terminal, a new administration building, and stabilization of the shipping lane.

The Don Young Port of Alaska also has a rail connection. Alaska Railroad serves the port⁠ and operates a cargo yard next to the facility.

The Port Modernization Program covers more than a single cargo terminal. The Don Young Port of Alaska describes it as a dock replacement program intended to renew aging docks and related infrastructure before failure, while improving operational safety, efficiency and resilience in seismic and marine conditions.

The wider context is also logistical: the Municipality of Anchorage describes the port as Alaska’s primary inbound marine cargo hub, supplying more than 150 communities and 90% of state residents with essential goods, including food, construction materials and fuel.