Dubai Ports World is studying plans to build a container terminal in the Cuban port of Mariel, reports Reuters, citing business sources.

The news agency said it was told by a Havana port source that DP World agreed earlier this month to conduct a feasibility study on building a US$250 million terminal with a view to commencing operations in 2012.

"A deal is in the works. It is moving forward and they have signed various agreements," Reuters was told by another familiar with the plan.

The report said that DP World spokeswoman Sarah Lockie in Dubai has declined to comment at this stage, meaning the claims could not be verified.

This development comes after DP World purchased Britain's Peninsular & Oriental Steam Navigation Co. last year, but was compelled to sell its six port terminals in the US it secured through the P&O acquisition, after its came under fire as an Arab company in charge of port facilities in the US, posing an intolerable security risk, said critics.

Reuters added that P&O had planned for several years to redevelop Mariel port as a modern container port. Mariel port is close to Havana on the north coast of Cuba, and not far from the US.