KUALA LUMPUR: Negotiations between Muhibbah Engineering (M) Bhd and Cambodian authorities over a possible concession for the new airport in Phnom Penh are progressing well, with the possibility of an ideal scenario coming to fruition, said CGS International (CGSI) Research.
In the optimistic outcome outlined by CGSI, Muhibbah would receive compensation for the loss of its operations at the Siem Reap airport and be engaged to operate the new airport at Kandal, south of Phnom Penh, which is scheduled to commence operations in 1H25.
"This is because the new airport is being built by a JV between Cambodia’s State Secretariat of Civil Aviation (SSCA) and the Overseas Cambodia Investment Corporation (OCIC), which is owned by a local businessman, both of whom do not have the expertise to run an airport," said the research firm.
It also cited a March 24 article in the Khmer Times that stated a favourable result is expected based on the Royal Government's win-win policy.
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