The Bolivian Government has launched today the tender for the USD 280m expansion of the Viru Viru airport located in Santa Cruz.
This DBFOM project will be the first PPP asset built under the new Bolivian constitution (2009).
Investors will have until 9 September to submit their proposals. On 19 September the Government will announce the name of the chosen company and two days later it is planned the signing of the memorandum of understanding (MOU).
The plan for the Viru Viru expansion has already grasped attention from international investors. The Ministry of Planning released the names of the following companies:
- Flughafen Zürich (Switzerland)
- Groupe ADP International and Vinci Airports (France)
- Azimut and Rostec (Russia)
- Mitsubishi Corporation (Japan)
- Corporación América Airports (Argentina)
- Finnova (European Foundation for the funding of sustainable developments) (Belgium)
The government is working on guaranteeing a 30-year concession, an official told Inframation. Earlier this year, technical advisor ALG and legal advisor firm Gide, Loyrette and Nouel were appointed for the expansion works of the airport.
IDB Bank is following closely this project advising on the international financial aspects, Ministry of Planning said in March 2019.
The expansion of the Viru Viru terminal has been in the governmental agenda since 2015. The project was initially awarded to the Chinese company Bejing Urban, that provided a USD 300.2m plan and guaranteed a credit facility with the Exim Bank of China. However, due to “inconveniences that occurred” (as Minister of Public Works Milton Claros said back in 2017) the contract was annulled.
This project certifies that Bolivia is opening up to private investments. The government is in fact also planning a mixed JV (51% public, 49% private) to build Puerto Busch, a river port located on the border with Brazil.