Razon-led International Container Terminal Services Inc. (ICTSI) has acquired a 27-hectare property to expand its berth terminal in Bauan, Batangas.
In a disclosure to the Philippine Stock Exchange (PSE), the firm said the property it bought is in Barangay San Roque and San Andres I, Municipality of Bauan.
The property is adjacent to ICTSI’s Luzon International Container Terminal (LICT) in Bauan, Batangas, and will be used for the expansion plans of its new 900-meter berth terminal.
The property is part of ICTSI’s $800 million investment in providing a world-class port facility and is critical to ICTSI’s role in catalyzing regional development to Southern Luzon as a key player in global trade.
“This project will ultimately boost the economic benefits to the country through provision of efficient port services,” ICTSI said.
It noted that LICT is aimed at meet growing demand for efficient and eco-friendly marine handling solutions in the region.
The facility, expected to be completed by 2028, will be the largest privately funded marine terminal investment in the Philippines. It is set to become the country’s second largest container facility after the Manila International Container Terminal (MICT).
Beyond expanding capacity, ICTSI said LICT is expected to support the Philippines’ renewable energy goals, particularly in Southern Luzon.
“We're proud to drive positive change at home by developing a world-class port capable of handling the largest container vessels,” said ICTSI Vice President and Head of Global Engineering for Infrastructure and Project Delivery Nathan Clarke.
He added that, “this boosts our capacity and helps lead the shift toward a more sustainable shipping industry. Our new Bauan terminal’s ability to accommodate large ships sets it apart and positions us as a leader in efficient and eco-conscious trade.”
“At the end of the day, if a terminal is unable to handle larger vessels, it’s also unable to fully embrace the new technologies leading to a sustainable future,” Clarke noted.
ICTSI said it is committed to building the LICT terminal with sustainability in mind. Every aspect of the terminal’s design and construction will prioritize environmental responsibility.
Design and engineering studies are underway, with construction beginning in early 2025. The project will follow strict environmental guidelines to minimize disruption to the local ecosystem.
A key feature of the Bauan terminal is its ability to handle mega-ships, a growing trend in global shipping aimed at increasing efficiency and reducing environmental impact.
These larger vessels can carry significantly more cargo, offering several environmental benefits.
One of the main advantages of mega-ships is that they help reduce the number of vessels at sea by transporting more cargo in fewer trips. This leads to lower fuel consumption, reduced greenhouse gas emissions, and less congestion on shipping routes.
Mega ships, like those that will use LICT, are also adopting green technology to reduce their environmental impact further.
Many of these ships have energy-efficient engines, streamlined hull designs to reduce drag and use cleaner fuels such as liquefied natural gas (LNG).
These advancements help lower emissions and comply with international regulations like IMO 2020, which limits sulfur content in marine fuels.
Larger vessels are also more energy efficient. By carrying more containers per trip, they use less fuel per TEU, resulting in reduced emissions.
Mega ships also help protect marine biodiversity by reducing the number of vessels passing through sensitive areas. Fewer ships mean less disruption to marine life.
Additionally, larger vessels often follow established shipping routes that minimize environmental impact. Concentrating traffic in a few key ports, rather than many smaller ones, helps reduce overall ecological damage.
Many of these ships are equipped with ballast water management systems to prevent the spread of invasive species, further supporting marine conservation efforts.