Manila: Filipino company International Container Terminal Services Inc (ICTSI) is to construct a river port terminal in the Democratic Republic of Congo (DRC).
In a note to the Philippine Stock Exchange, ICTSI said subsidiary ICTSI Coöperatief has formed a joint venture with Congolese firm La Societe De Gestion Immobiliere Lengo (SIMOBILE) to build a terminal in Mbengu district, in the township of Matadi along the Congo River.
ICTSI Coöperatief will own 60% of ICTSI-DR Congo, while SIMOBILE will own 40%.
Initial capitalization of ICTSI -DR Congo is $12.5 million, with ICTSI injecting $7.5m and SIMOBILE contributing a parcel of land valued at $5m.
The Phase 1 construction of the facility will be completed in 18 to 24 months, and is expected to handle 120,000 teu. Phase 2 will double the capacity.
Total spending for the project for the first five years is estimated to reach $100m, ICTSI said. [24/01/14]