Razon’s ICTSI to ramp up capacity at Manila container terminal
LISTED port operator International Container Terminal Services, Inc., (ICTSI) is modernizing its Philippine operations with additional quay cranes that will expand the capacity of the Manila International Container Terminal (MICT).
In a statement, the company led by tycoon Enrique K. Razon said it will order five postPanamax quay cranes capable of servicing up to 13,000 twentyfoot equivalent units (TEUs) boxships, which are the largest in the intra-Asia trade, and 20 rubber tired gantry cranes.
The acquisition of the quay cranes, as well as the construction of another berth, is part of the company’s $ 80- million capital equipment program for the MICT, as it anticipates a projected increase in container movement due to the growing Philippine economy.
ICTSI said the new equipment will have “the largest vessel handling capability in the Philippines,” and is used in major developed markets around the world.
The post-Panamax quay cranes have a maximum reach of 20 containers across and twin lift rated load capability, allowing it to service single-ocean box ships. This would allow MICT to service new generation vessels with capacities of up to 13,000 TEUs.
“Hitting the two-million mark last year is a clear indication that we need to further expand our operation in response to the direction of the market. We also have to address the growing consolidation trend happening with major carriers that have them deploying larger capacity vessels,” ICTSI Senior Vice-President and Regional Head of Asia Pacific Christian R. Gonzalez was quoted as saying.
Reaching the two millionth TEU milestone “triggered a multi- billion peso capacity improvement commitment with the Philippine Ports Authority,” the company said.
“We have always been steps ahead of the game in terms of planning. By the way things are looking, there is a legitimate need to invest in equipment and construct an additional berth in the near future. We need to ensure expansion is ahead of the curve in terms of being prepared for an increase in vessel sizes,” Mr. Gonzalez added.
ICTSI said two of the new quay cranes will be deployed at Berth 5 of the MICT, while another pair will go to Berths 6 and 7. The fifth crane will be used at Berth 3.
“The first three cranes are scheduled for delivery by 2018, with the remaining two at 2019,” the company said.
ICTSI has several projects in the pipeline, such as the revival of a rail line which will link MICT with Laguna Gateway Inland Container Terminal.
It has also submitted to the government a proposal to build a $30-million common-user barge and roll on- roll off terminal in Tanza, Cavite, which will also be directly linked with MICT.
For the first nine months of 2016, ICTSI’s net income attributable to equity holders rose 4% to $141.9 million from $136.2 million a year ago.
Shares in ICTSI add P1 or 1.33% to close at P76 apiece on Monday. —