The Mindanao Container Terminal Expansion is included in the capital expenditures for its ongoing expansions of port facilities by the International Container Terminal Services Inc. (ICTSI) for 2026 estimated at $740 million.
The Mindanao Container Terminal (MCT) in Tagoloan, Misamis Oriental is undergoing a major expansion, with operator MICTSI investing over USD 100 million to extend the berth by 300 meters, increasing capacity beyond 350,000 TEUs. The project, set for completion by 2029, will accommodate larger vessels and boost regional trade efficiency, supported by a 25-year concession extension until 2058.
Key Expansion Details
Berth Extension: The current 300-meter berth will be doubled to 600 meters to accommodate larger, more efficient vessels.
Infrastructure Upgrades: The investment includes new cargo handling equipment, upgraded infrastructure, and new technology to improve operational efficiency.
Capacity Boost: The project aims to handle increasing container volumes in Mindanao, catering to both import and export needs, particularly in the agro-industrial sector.
Timeline: The expansion is planned for completion by 2029.
Concession Extension: MICTSI (a subsidiary of ICTSI) secured a 25-year extension to operate the terminal within the PHIVIDEC Industrial Estate until 2058.
Strategic Impact: The expansion supports the growing demand from Mindanao’s agricultural sector (pineapples, bananas) and connects northern Mindanao with global markets, including China and other parts of Asia.
Sustainability: The terminal has also begun incorporating sustainable practices, such as using solar power, as part of its operations.
This project, described as “MCT Phase II”, is considered a vital upgrade for the economic growth of the region, say Philippine Information Agency.
‘Our focus on operational efficiency, targeted capital allocation, and prudent financial management supported continued margin expansion and strong cash generation,” said Enrique Razon Jr., ICTSI chairman and president. He added that the company remains committed to financial discipline while investing in new projects.
“As we execute on strategic opportunities across our network and invest in new projects, we remain committed to maintaining the financial discipline and selective approach that have underpinned our track record of value creation,” Razon said.
The 2025 expenditures supported expansions at CMSA in Mexico, and several Philippine sites including the MICT and MCT. Funding also went toward equipment acquisitions and the new SLCT in Batangas. Excluding the upfront payment for the Indonesian project, organic capital expenditure was $572.49 million.
Also included in the capex are the ongoing expansions at Manila International Container Terminal (MICT), and South Luzon Container Terminal (SLCT) in the Philippines, as well as sites in Brazil and the Democratic Republic of Congo.
A primary focus will be the completion of the phase 3B expansion at Contecon Manzanillo s.a. (CMSA) in Mexico.
The 2026 budget includes four new expansion projects. These are located at Operadora Portuaria Centroamericana in Honduras, Victoria International Container Terminal in Australia, Contecon Guayaquil in Ecuador, and Phase 4 at CMSA in Mexico. The funds will also cover various equipment upgrades and maintenance capital expenditure.
ICTSI continues to pursue container terminal opportunities globally.
