SBMA, US maritime group ink contract for P275-M ship repair facility in Subic

SUBIC BAY FREEPORT – The Subic Bay Metropolitan Authority (SBMA) signed a long-term lease contract with the subsidiary of US maritime firm for the setting up of a P275-million ship repair facility.

SBMA chairman Feliciano Salonga and administrator/chief operating officer Armand Arreza led the contract signing with Subic Drydock Corp. president and CEO Catalino Bondoc for the facility that will rise along Bravo Wharf inside the Riviera Pier.

Subic Drydock is a wholly owned subsidiary of Cabras Marine Corp., a US-based maritime services organization which has been the leading provider of tugboat, salvage vessels, pilotage and waterfront service for the US Navy and commercial vessels in Guam and Micronesia for over 30 years.

The company will bring back to Subic Freeport the two US Navy floating dry docks that were bought by Malayan Towage and Salvage Corp. from Guam government.

Subic Dry Dock will be eyeing service contracts with 88 domestic shipping companies operating 315 domestic vessels.

The two dry docks were the subject of controversy in 1992 during the withdrawal of the US Naval base and its facilities here after the United States government rejected the request by then President Corazon Aquino to leave behind the facilities.

"I also regard today’s ceremonial contract signing as a vivid demonstration that business in Subic goes on as usual," Arreza told The STAR in an interview.

The Malayan group was able to purchase the AFDM-5, the dry dock which used to be stationed at Bravo Pier located inside the former US Naval ship repair facility (SRF).

"The return of the floating drydock would mean job opportunities for people in the nearby area, especially those who were trained and used to be employed with the SRF of the US Naval forces," Salonga added.

"The return of the AFDM-5 is like a dream come true for former US base workers. It is bound to create more jobs, direct and spillover, especially those who used to work inside the SRF when the freeport was still a US military base," Bondoc said.

Bondoc said the facility will target the international shipping market as its primary client particularly vessels operating in the Asian Region. These vessels are represented by international shipping agents composed mostly of customers of Malayan company.

Because of the Visiting Forces Agreement (VFA), Subic Dry Dock will aim to secure the master ship repair agreement (MSRA) and be accredited for US Navy ship repair contracts that require dry docking and repair services particularly from the Military Sealift Command based in Yokohama, Japan.

According to Bondoc, the project will be employing initially 150 skilled and semi-skilled workers; mostly people who used to be stationed in the SRF area for their familiarity on the dock and at the same time train and apprentice new individuals.