Mindanao Container Terminal

active

The Phividec Industrial Authority (PIA), a local government agency, awarded the concession to International Container Terminal Services Inc. (ICTSI) to operate Mindanao Container Terminal in the Phividec Industrial Estate, Tagoloan municipality, Misasmis Oriental province, on a rehabilitate, operate and transfer basis for a period of 25 years. The concession contract was awarded to ICTSI on March 31, 2008. Following the concession award, ICTSI formally initiated the registration process for a wholly owned project company, Midanao International Container Terminal Services Inc (MICTSI). The concession was awarded following a competitive bdding process in which ICTSI, Asian Terminals Inc. and Harbour Center Port Terminal Inc. submitted bids by the Jan. 28, 2008, deadline stipulated by the Phividec Bids and Awards Committee. ICTSI was awarded the concession contract on the basis of the 'highest rated responsive bid'. The concession contract was signed on April 25, 2008 at which point the date for transferring terminal operations to MICTSI was set for June 25, 2008. As of Dec. 31, 20008, details of how ICTSI was to finance the rehabilitation of Mindanao Container Terminal had not been publicly disclosed. As of Dec. 31, 2008, the capacity of Mindanao Container Terminal stood at 270,000 TEUs per annum. ICTSI was to expand capacity at the terminal to 355,000 TEUs per annum, corresponding to an investment commitment of US$4.8 million, or 214.7 million Philippine pesos [PHP]. MICTSI formally commenced terminal operations as planned on June 25, 2008. Investment commitments quoted in Philippine pesos were converted to USD using the 2008 annual average exchange rate contained in IMF's IFS: US$ 1 = PHP 44.475.