Pochentong International Airport

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The Société Concessionnaire de l’Aéroport (SCA ) consortium was awarded a 25-year concession contract to expand and modernize the airport at Phnom Penh. The contract included the upgrading of existing infrastructure, the construction of a new runway (3,600 meters long and 45 meters wide) and a new passenger terminal (16,000 square meters) with the capacity to handle around 3 million passengers per year by 2005. In 2006, the contract was extended by 20 years until 2040. The new terminal officially opened June 6, 2003. Financial closure was achieved as follows: a syndicated loan of US$38 million from Malayan Banking Bhd, a French government grant, capital injection and advances by the shareholders and from the project cash flow. SCA was 70% controlled by Vinci Group (Vinci) from France and 30% by a local holding company, Muhibbah Masteron (Cambodia) Company Limited (MMC). MMC was 70% owned by Muhibbah Engineering Berhad (ME) and 30% owned by two local Cambodian businessmen, Mr Okhna Kong Triv and Mr Okhna Hann Khieng. Vinci was one the largest companies in the world providing concession management, construction and related services. It was created in 2000 through the merger of Société Générale d’Entreprises and Groupe GTM, the construction subsidiaries of Veolia Environnement (formerly called Vivendi Environnement) and Suez, respectively, followed by a gradual spin-off of the new entity (Vinci). Vinci was then an independent company trading on the Paris stock exchange with its staff being the largest shareholder with a 9% interest followed by Veolia Environnement with a 2% interest. Some parts of the operation of the two airports (SCA also managed Siam Reap airport) were subcontracted to Cambodia Airport Management Services Limited (CAMS), a joint venture between Aéroport de Paris, the French government owned company (60%) and Malaysian Airport Berhad (40%). In January of 2004, the IFC agreed to lend US$10 million to SCA for the continuing operations of the two main Cambodian airports. Proparco, a French bilateral, provided a parallel loan of US$10 million along with IFC. The loans were part of SCA's 2003-2007 capital expenditure program which included a US$23.2 million upgrade to the facilities of Pochentong Airport, including runway lengthening and widening, construction of a parallel taxiway, expansion of apron and warehouse facilities and modernization of the airport operating equipment. Pochentong International Airport handled 948,614 passengers and 18,082 aircraft movements in 2002. International passengers represented 76% of the activity, with the remaining 24% domestic passengers which were mainly tourists transferring to Siem Reap. None None