Lyttelton Port says growing trade and ageing infrastructure have made its $821-million-dollar expansion necessary.
The project includes a new wharf and container terminal, lifting capacity to around 850 thousand containers a year.
Chief executive Graeme Sumner says the port's running out of capacity - with 92 percent of ships built today unable to fit in the current port.
LISTEN ABOVE

Jenee Tibshraeny: NZ Herald Wellington business editor explains why insurance disputes have risen to record levels
05:28

Jeremy Hutton: Milford Asset Management expert on KMD Brands reporting $414 million loss
03:05

Danielle Forde: Northern Beaches buyers agent on Jacinda Ardern and Clarke Gayford reportedly buying $6.5 million Sydney home
03:11