An unsolicited proposal to upgrade Davao Airport in the southern Philippine island of Mindanao has given been approved by the country’s National Economic and Development Authority-Investment Coordination Committee (Neda-ICC).
The proposal – worth around PHP 49 Billion (~USD 960 million) and a 30 year concession period – would have Chelsea Logistics take the responsibility to reconfigure and expand the passenger terminal, construction of a new taxiway, and upgrade the IT systems at the airport among other upgrades planned
While it has received this new approval, the proposal will still have to clear the Philippine NEDA board before being put up to a Swiss challenge. Should it clear the Swiss challenge, Chelse Logistics will have to start work on the project within a year of approval.
This is an early Christmas gift not only to us at Chelsea but for all Filipinos,” Chelsea Logistics president and CEO Chryss Alfonsus Damuy said in a statement on Thursday.
Davao Airport is the third busiest airport in the Philippines handling around 4.3 million passengers in 2018. As the southern island of Mindanao’s main air travel hub, it has become a hub for the major Philippine carriers Cebu Pacific and Philippine Airlines to mostly domestic routes. In recent years, the airport has welcomed international flights from airlines to destinations such as Hong Kong, Doha, Quanzhou, Manado, and Singapore.
While looking to work on the Davao Airport project, Chelsea Logistics is also bidding for other airport projects in the country including Bacolod-Silay and Busuanga.