Companies line-up for Paraguay airport concession

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Companies line-up for Paraguay airport concession

The Government of Paraguay has announced that several companies have shown interest in the concession of Silvio Pettirossi airport, located in Asunción.

In late May, we reported that after conducting feasibility studies the government expects to launch the tender process in early January 2015. The new airport is expected to be operational by 2017.

According to local sources, the firms that are interested in the concession are, among others:

  • Odebrecht from Brazil;
  • Sacyr from Spain;
  • DCK Worldwide from USA;
  • MNG Group of Companies from Turkey; and
  • Vinci from France.

The PPP project would involve the construction of a new airport and the reconstruction of the existing facilities to transform them into administrative offices. The concession contract would have a period of 30 years. The total investment is estimated at US$184 million.

The Government of Paraguay received the support from the European Union to fund the Feasibility Study with €300,000.

Luis Aguirre, President of the civil aeronautic national body (DINAC), said that the studies show the airport would need 30,000 m2 to be able to handle 2 million passengers. Currently, the airport has 13,500 m2.

Silvio Pettirossi International Airport is Paraguay's main national and international gateway, located at Luque, suburb of the capital Asunción. The airport serves as hub for TAM Airlines also known as Transportes Aéreos del Mercosur S.A., formerly known as TAM Mercosur and LAP (Líneas Aéreas Paraguayas).

The terminal building splits into domestic and international concourses, with 2 gates (5 and 6) and 4 gates (1 to 4) respectively. However, the airport currently receives only one domestic flight, handled at the International Concourse. The domestic concourse handles cargo, general aviation and charter flights.

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