Chinese Firms Eye Up Infrastructure Project Near Panama Canal

Yicai

2017-03-28

(Yicai Global) March 28 -- Several Chinese companies are showing interest in developing a large parcel of land near the Panama Canal, suggesting domestic companies are still keen to invest in overseas infrastructure projects.

The Panama Canal Authority is in talks with prospective investors from China, Reuters cited Jorge Quijano, director, as saying. China Communications Construction Co. [HKG:1800], its subsidiary China Harbour Engineering Co. and China Railway Group [SHA:601390] have all expressed interest in the project, he added.

The authority plans to contract the land to different firms, and offer them a 40-year concession, Quijano said, adding that cargo throughput at the canal increased over 18 percent between October and February after the completion of expansion work last year.

The PCA will invite tenders by year-end to build a 1,200-hectare logistics park near the canal, reported the BBC. The land area was formerly used as a shooting range for the US military.

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