The Minister of the Presidency, Álvaro Alemán, presented on January 19 a bill before the National Assembly to award an extension on the 20 year contract for the development of the Port of Coco Solo North Container Terminal, in the Colón province.
According to information supplied by the Government of Panama, the minister said that in 1996 a Contract for the development, Construction, Operation and Administration of a Container Terminal in the Port of Coco Solo North signed between the State the Colón Container Terminal S.A. (CCT) for a period of 20 years. He added that after that period the Seventh Clause in the agreement establishes that it could be extended for an additional 20 years provided that the company has complied with the obligations acquired by the contract signed in 1996.
Alemán said to the legislators that CCT, has complied with all the contractual obligations, including the money it has to give to State, as well as successfully developing a container terminal in the Port of Coco Solo North.
According to the minister the extension proposal will bring bigger benefits, which in turn will maintain jobs and increase the investments that will be made in the port.
Alemán also highlighted that CCT is committed to make additional investment in an expansion of the container terminal that will cost around $90 million; as a supporting social and community projects in the region of $1.8 million.
He pointed out that the Panama Maritime Authority (AMP) will receive close to $39 million as payment of the concession during the time of the contract as contemplated in the bill presented before the National Assembly.