Philippine-based MetroPac Water Investments Corp (MWIC) has sealed a $60 million (P2.8 billion) bulk water project deal on Tuesday and a new joint venture firm is being set to run the project.
A wholly-owned subsidiary of listed conglomerate Metro Pacific Investments Corp , the MWIC formally received the Notice of Award for the Iloilo Bulk Water Supply Project from the Metro Iloilo Water District (MIWD) pursuant to the provisions of the 2013 NEDA (National Economic Development Authority) Guidelines on joint-venture.
“A joint-venture company will be formed by MWIC and MIWD to rehabilitate, expand, operate, and maintain MIWD’s existing water production facilities,” said Metro Pacific vice president Melody Del Rosario.
The project will provide up to 170 million liters per day of bulk water supply to MIWD in the next 25 years.
“MWIC will hold an 80 per cent interest in the JV,” Del Rosario said.
The project’s total cost of P2.8 billion is based on 2014 prices.
“The JV agreement for the project will be executed upon the satisfaction of certain conditions precedent,” Del Rosario added.
MPWIC is one of three subsidiaries of Maynilad Water Holding Company Inc (MWHCI), the water utilities arm of Metro Pacific. The other two companies are Maynilad Water Services Inc (Maynilad) and Philippine Hydro Inc (PHI).
Metro Pacific’s last trading price decreased 0.19 per cent or P0.0100 to close at P5.33.