London - A unit of International Container Terminal Services, Inc. (ICTSI) is selling its 30% stake in a company that operates the Motukea Port, Papua New Guinea. In a disclosure to the stock exchange Thursday, the Razon-led port operator said its unit ICTSI South Pacific Ltd. has entered into agreements with Noho-Mage Holdings Ltd. for the latter to acquire a minority stake in Motukea International Terminal Ltd. (MITL). “This is in line with the Terminal Operating Agreement (TOA) entered by ICTSI and the PNG (Papua New Guinea) Ports Authority for the 25-year operation of the Motukea Port,” it said. “The signing of the TOA, which provides that ICTSI South Pacific will own 70% while Noho-mage Holdings Ltd. will own 30% of MITL, was earlier disclosed to the Exchange last September 25, 2017,” it added. Noho-Mage Holdings Ltd. is representing Tatana and Baruni communities from Papua New Guinea. The entry of Noho-Mage Holdings as a shareholder in MITL will ensure the representation of the communities from Baruni and the Tatana Island in the company’s board of directors.
Meanwhile, ICTSI said in a separate disclosure it received a partial repayment of 195.2 million euros from the Sudanese Ministry of Finance & Economic Planning for the delay in the company’s takeover of the South Port Container Terminal at the Port of Sudan last April. “]D]ue to the ongoing political instability in the Republic of the Sudan and the failure of the Sudanese government to turn over the South Port Container Terminal at the Port of Sudan to ICTSI on or before…April 7…the Sudanese Ministry of Finance & Economic Planning earlier sent ICTSI a letter confirming the remittance of 195.2 million euros…,” it said. It added the balance of the 410 million euros upfront fee of the refund bond will be paid to the company as soon as possible. “ICTSI is in continuous discussion with the Sudanese Government for the repayment schedule of the balance of the upfront fee. ICTSI continues to reserve its rights under the Concession Agreement,” it said.
Source: Business World