ICTSI, ATI offered to operate Sangley seaport component
All Asia Resources & Reclamation Corp. has invited the country’s two port operators International Container Terminal Services, Inc. (ICTSI) and Asian Terminal Inc. (ATI) to become its turnkey partners for the seaport component of its proposed R800 billion to R1 trillion Sangley mixeduse development.
Company vice-chairman Edmund T. Lim told reporters at the tourism forum dubbed “Where our new international airport should be located?” hosted by the Philippine Chamber of Commerce and Industry they have invited the two port operators because its proposed 600-hectare seaport can accommodate two port operators.
“We welcome everybody because it is such a huge project,” Lim said noting that businessman Razon’s ICTSI operates on more than 100 hectares for its Manila International Container Terminal located between the North and the South Harbors, protruding westward into the Manila Bay at the mouth of the Pasig River.
The Tanco-owned ATI operates on less than 100-hectare Manila South Harbor container terminal and multi-cargo port. The Batangas International Port of ATI has also a limited capacity and nearing full utilization.
Lim stressed that its international port component covers about 600 hectares, big enough to accommodate break bulk cargoes such as fertilizers, coal, materials for cement making, and can freely accommodate trucks and barges.
The seaport is just one of the components of the company’s proposed Sangley redevelopment that is anchored on the construction of a new international airport.
According to Lim, Sangley’s strategic location in the south makes it ideal for both air and sea shipments by manufacturing firms, which factories are largely concentrated in southern Luzon. This makes an airport project in Bulacan impractical because factories from the south will have to traverse all the way from Manila just to ship their merchandize.
Lim further said that the establishment of another international airport in Bulacan, which is being proposed by businessman Ramon S. Ang, president and COO of San Miguel Corp., will definitely affect the viability of the other airport as traffic in Metro Manila and southern Luzon will be divided.
Aside from the seaport operators, Lim also said that the country’s premier flag carrier Philippine Airlines, which is owned by tycoon Lucio Tan, has also indicated its interest to build the airport terminal in Sangley.
The group, however, has yet to reclaim at least 1,300 hectares in two years which should be put on stream five years after from the date of approval.
In the meantime, the project proponent said they will be rehabilitating the former runway and build a new terminal passenger. The rehabilitation could cost R1 billion only. The airport can start operation within a year from approval.
A Danish company has also conducted a study on the connectivity of Sangley to Manila and has indicated a preference for the construction of a tunnel because it is cheaper. A study by the Japan International Cooperation Agency, however, has recommended the construction of a bridge.
Overall, however, Lim said the construction of new airport, land reclamation and the seaport could cost R800 billion to R1 trillion in five years from the time the government issued the notice to proceed. Already China Communications Construction Company Ltd., the largest construction company in China, has offered to provide funds on turnkey arrangements to show they are serious with the project.
According to Lim, they have already submitted the project proposal to the previous government but for some reason it was not acted upon. They also resubmitted the proposal to the new administration after President Duterte asked them to submit the proposal during a meeting on August 22 last year.