The expansion comes on the heels of the Port being named the fastest growing container port in the nation for the second consecutive year. A total of 2.09 million container TEUs moved through the Port of Seattle in 2005, an 18% increase over 2004, which was a 20% increase from 2003.

Terminal 30, between East Marginal Way South and the East Duwamish Waterway, was used as a container terminal until June 2002, when the ocean carriers that previously docked there moved to other Port of Seattle Terminals. It reopened as a cruise facility in May of 2004.

Terminal 30 could reopen to cargo ships as early as 2008, increasing the port's capacity by 13%. When it does, cruise ship traffic will be diverted to Terminal 91, near Interbay.

A renovated Terminal 30, when combined with container facilities at terminals 25 and 28, would contain 70 acres for handling cargo and two vessel berths. Terminal 25 reopened in 2005 for the cargo operations of Matson Navigation.

In addition to the increased container traffic, cruise passenger volume increased 22% in 2005 to 686,357. The number of cruise ship calls grew by 14% to 169. In 2006, passenger counts are expected to reach 740,000 on the strength of 200 ship calls.

"This project will ensure our ability to continue to grow both our container and cruise businesses and retain our position as a leading seaport and airport that is globally competitive," says Port of Seattle CEO Mic Dinsmore in a prepared statement.

A full environmental impact statement will be conducted to determine the project's potential effects on air and water quality, traffic, noise and light. If necessary, mitigation of environmental impacts will carried out.