SM Prime taps Dutch, Chinese partners for Pasay reclamation

Published December 7, 2019, 12:00 AM

by manilabulletin_admin

By James A. Loyola

SM Prime Holdings, Inc. has tapped with Royal Boskalis Westminster N.V. (Boskalis) of the Netherlands and China Harbour Engineering Company (CHEC) of China for its recently-awarded reclamation project in Pasay City which will cost a total of ₱54 billion.

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Royal Boskalis Westminster N.V. is a leading global dredging and offshore contractor and maritime services provider while CHEC is a provider of full services in Engineering-Procurement-Construction (EPC), Build-Operate-Transfer (BOT), and Public-Private Partnership (PPP) for both public and private sectors.

Boskalis said it has received the Provisional Letter of Acceptance for the Design and Construction contract for the Pasay Reclamation Development Project in Manila Bay in cooperation with CHEC from China.

The development will create a new commercial and residential area in a densely populated part of Manila. The project has an estimated value of approximately US$720 million (EUR 650 million) of which Boskalis’ share amounts to approximately EUR 325 million.

“We are delighted with the award of this substantial contract from SMPHI. As Boskalis, we have a rich tradition in land reclamation and we look forward to contributing to a modest incremental growth of the Philippines and to protect part of Manila against the effects of climate change,” said Boskalis CEO Peter Berdowski.

He noted that, “This has always been an important region for Boskalis and through this project, we have secured utilization for the large dredging vessels for the coming years.”

The Pasay Reclamation Development Project in Manila Bay is a new and modern commercial and residential property development to be run by SMPHI.

The project involves the reclamation of approximately 360 hectares through the construction of three artificial island according to international standards to ensure a safe living environment.

The islands have been designed to withstand potential large earthquakes. In addition, shore protection works are designed to withstand typhoons.

For the reclamation activities Boskalis will deploy a number of trailing suction hopper dredgers over a period of two years including its mega hopper dredgers. To accelerate the soil settlement, 60,000 kilometers of vertical drains will be installed.

The entire reclamation area will be compacted with vibro- and dynamic compaction to ensure soil stability. The outer perimeter of the islands will be protected with a combination of rock revetment and a concrete wave wall.

Preparatory work is scheduled to commence immediately and work on site is expected to start within the first quarter of 2020. The reclamation activities are expected to be completed within three years and the total project duration including land development is five years.