Port builder International Container Terminal Services Inc. (ICTSI) has landed another 25 years for its concession to operate and maintain the Mindanao Container Terminal (MCT).
ICTSI subsidiary Mindanao International Container Terminal Services Inc. (MICTSI) yesterday announced that it has received a 25-year extension from the PHIVIDEC Industrial Authority to manage MCT.
The extension means MICTSI is given the right to operate and maintain MCT until 2058.
The MCT is located within the PHIVIDEC Industrial Estate in Tagoloan, Misamis Oriental, and it serves as a major hub for trade in Mindanao. It serves as a jump-off point for agricultural exports from Mindanao, such as bananas and pineapples.
With its concession extended for 25 years, the MICTSI committed to invest at least $100 million to upgrade the infrastructure of MCT. The commitment includes the construction of a 300-meter berth and the acquisition of new equipment.
MICTSI president and general manager Aurelio Garcia said the company is infusing fresh capital into the terminal to prepare for future growth in cargo volumes.
Once the upgrades are completed, MCT will be able to increase its yearly capacity from 350,000 twenty-foot equivalent units (TEUs) at present, gearing it up for more import and export activities.
The new berth in MCT will also equip the terminal with the capability to welcome larger vessels that could sail on new routes, expanding the market opportunity for Mindanao.
“ICTSI is proud to continue our work at Mindanao Container Terminal, a critical hub in southern Philippines. This extension also allows us to implement our vision for the terminal’s future, with significant investments in new technologies and infrastructure to meet the evolving needs of our customers and the region,” Garcia said.
ICTSI, the parent of MICTSI, is poised to conclude the year on a high note, generating a profit of $632.58 million so far until September.