Thursday, September 27, 2018

Indian, Greek team to build €520m New Heraklion airport on Crete

The government of Greece has awarded the contract to build and run an airport on the island of Crete to a consortium led by India’s GMR Airports and GEK Terna Group of Athens.
The two companies will design, build, finance and operate the New Heraklion International Airport for 35 years, including the phase one construction period, which is expected to last five years.
Expected capital expenditure for Phase 1 construction is €520 million.
Crete’s present international airport, Nikos Kazantzakis, is the second largest in Greece and is reaching the limit of its capacity despite a number of expansion projects. It will be closed once its replacement is operational.
Bengaluru-based GMR, which is the largest private developer of airports in India, first put a bid in for the New Heraklion project in 2016. Greece has been trying to find a consortium willing to fund the scheme since 2009, when the debt crisis made the scheme problematic.
The project will be funded using a mix of equity sales, accruals from Nikos Kazantzakis and grants from Greece’s treasury.
26/09/18 GCR