Dennis Uy’s Chelsea Logistics gets original proponent status for Davao Sasa Port project

Chelsea Logistics and Infrastructure Holdings Corp. has secured the original proponent status (OPS) for a proposal to modernize the Sasa Port in Davao City.

In a regulatory filing submitted by corporate secretary Henedina San Juan on Friday, Chelsea Logistics said the Philippine Ports Authority (PPA) gave P11.2-billion unsolicited bid to rehabilitate and modenize the Sasa Port the OPS.

“The grant of the OPS was contained in the Certificate of Successful Negotiation dated 19 August 2019, following the successful negotiation on the scope and details of the project ...” the company said.

The proposal will be submitted to competitive challenge in accordance with the National Economic and Development Authority’s (NEDA) guidelines for joint venture deals between the government and the private sector.

As the original proponent, Chelsea has to match or best other bids by potential challengers in a Swiss challenge.

The 25-year joint venture agreement to modernize the port will run in five phases, with phase 1 to be completed in 2021 and phase 2 in 2023.

The project aims to expand the port’s capacity; improve the flow of waterborne commerce and inter-island seaborne commerce and foreign trades; and streamline the enhancement, and optimization of port maintenance and operations.

The project will promote regional development through the dispersal of industries and commercial activities throughout the region, according to Chelsea.

“We thank the PPA and the Department of Transportation for working closely with us in finalizing the requirements and design of this huge project,” Chelsea president and CEO Chryss Alfonsus Damuy said.

“As a dominant player in the country’s shipping and logistics industry, Chelsea has been given the opportunity to further upgrade the supply chain management landscape of the country. We hope that through this port modernization, our mantra of ‘Better Shipping, Better Logistics, Better Life’ will redound to the rest of the region,” Damuy said. —Ted Cordero/VDS, GMA News