LISTED port operator International Container Terminal Services, Inc. (ICTSI) on Wednesday said its unit Contecon Manzanillo, operator of a container terminal at the Port of Manzanillo in Colima, Mexico, is investing $230 million for the terminal’s expansion and improvement.
Contecon aims to “serve the growing maritime traffic at the port,” ICTSI said in an e-mailed statement.
The terminal’s capacity will be expanded by 300,000 twenty-foot equivalent units (TEUs).
“The additional capital will be used for the construction of berths and yards, as well as for the acquisition of quay cranes, rubber-tired gantries, port tractors and other equipment,” ICTSI said.
“All these will complement the public project for the expansion and the adaptation of land access to the terminal, which the Federal Government announced for Manzanillo in November,” it added.
The company also said the project, which will be started in the second half of 2022, “reaffirms” its confidence in Mexico and the growth potential of the Port of Manzanillo.
“The investment is intended to expand the operating capacity of the terminal from 1.4 million TEUs to 1.7 million TEUs annually,” Contecon Chief Executive Officer José Antonio Contreras said.
For the first nine months, ICTSI’s total revenues hit $1.37 billion, a 24% increase from $1.1 billion previously.
Its net income attributable to equity holders for the January-to-September period was $316.4 million, 73% higher than the $182.6 million earned in the same period a year ago.
Its capital expenditures, excluding capitalized borrowing costs, for the first nine months reached $104 million. The company’s total budget for the year is about $250 million.
ICTSI shares closed 0.97% lower at P193.60 apiece on Wednesday. — Arjay L. Balinbin
