ICTSI inks Africa concession contract

MANILA, Philippines — International Container Terminal Services Inc. (ICTSI) will proceed to develop and operate a multi-purpose terminal in Africa to add to its extensive portfolio globally.

In a stock exchange filing, the listed company of billionaire Enrique Razon said a concession contract has been signed by its subsidiary Kribi Multipurpose Terminal (KMT) and Port Autonome de Kribi.

ICTSI in June last year was declared as the preferred bidder for the concession of the multi-purpose terminal of the Port of Kribi, Cameroon.

Under the concession contract, KMT will develop, operate and maintain the multipurpose facility at Kribi, a newly built deep-water port located 150 kilometers South of Douala.

ICTSI said phase one consists of 265 meters of berth and a 10-hectare yard.

Phase two, meanwhile, consists of an additional 350 meters of berth and 23-hectare yard.

Kribi port is surrounded by the Kribi Industrial Area, a 262 square-kilometer zone destined to accommodate new industrial and logistical developments supporting the growing Cameroon economy and the Cameroon-Chad (Central African Republic transit) Corridor.

ICTSI earlier said the concession contract has a duration of 25 years, or until 2045.

ICTSI is a publicly listed company in the Philippines, which has port operations all over the world. It has at least 16 ports in the Asia and the Pacific, including ports in the Philippines, two in Africa, seven in the Americas, and four in Europe and the Middle East.

The company has an unsolicited proposal to upgrade Iloilo Port to world-class levels through an P8.7-billion investment.

ICTSI reported a net income attributable to equity holders of $59.6 million in the first quarter, 18 percent lower than the $72.4 million in the same period last year.

The drop was attributed to lower operating income, increase in interest on concession rights payable, and COVID-19 related expenses.

Revenue from port operations declined by two percent to $375.8 million from $383.8 million in the same period last year as trade activities declined due to the impact of COVID-19 pandemic and lockdown restrictions.