Diversified Philippine company San Miguel Corp (SMC) has confirmed it is pushing through with a $6-billion airport project with the group of Philippine businessman Lucio Tan.
SMC is a major investor in Tan’s privately-held holding firms that control Philippine Airlines (PAL) and budget carrier Air Philippines,
In a recent disclosure to the Philippine Stock Exchange, SMC said reports quoting SMC president Ramon Ang on the project were “accurate”.
“The contemplated airport shall address the requirements of Philippine Airlines and Air Philippines Corp., respectively,” SMC’s chief financial officer Ferdinand Constantino told the stock exchange in a statement.
The project will likely start next year for completion in 36 months. The group is now talking to a Korean contractor to build the terminal.
The planned airport will rise in a still undisclosed 4,000-hectare property and will initially have two runways with a provision to extend to four. It will be able to take 150 takeoffs per hour, more than double the current capacity of Manila airports.
The new facility will help lick the problem of congestion at Manila terminals that has resulted in frequent flight delays.
SMC and the Lucio Tan group are seen to split equity for the project, expected to be around $2 billion.
Government has been looking for ways to decongest Manila airports, including transferring the gateways to Clark International Airport in Pampanga, a proposal which the International Air Transport Association said was not feasible due to the problem of transportation linkages.
SMC’s announcement was made after PAL signed an order for another 10 brand-new Airbus wide-bodied aircraft worth a total of $2.5 billion. The order is on top of an earlier deal for 54 aircraft worth $7 billion. The first batch of aircraft will be delivered by the second half of 2013 for use in regional flights.
Photo from www.sanmiguel.com.ph/corporate/bod
