May 18 (SeeNews) - A Chinese-led consortium intends to invest over 160 million euro ($188.6 million) in Bulgaria's Plovdiv Airport, double the originally envisaged amount, under a 35-year concession contract yet to be signed, Bulgaria's transport ministry said on Friday.
The tie-up comprising China-based HNA Group and Plovdiv Airport Invest company plans to turn the airport into a transport hub with one passenger and two cargo terminals, the ministry said following a meeting of transport minister Ivaylo Moskovski with representatives of the consortium.
Plovdiv, Bulgaria's second largest city, is a major road and rail hub and home to production plants of major foreign investors.
The consortium is also planning to reinforce and widen the airport's runway, and to build an aircraft repair base similar to the existing one at Sofia airport. Israel Aerospace Industries has already expressed interest in operating such a base, according to the statement.
The concession contract will be signed upon completion of the necessary legal procedures, the ministry said. In March, the government authorised the transport ministry to sign the concession contract.
The original version of the contract envisages investments of at least 79.1 million euro during the duration of the contract. The consortium will also have to pay a fixed annual fee of 600,000 levs plus 6% of the total revenues generated from the operation of the airport.
HNA Group's assets amount to $145 billion, according to the statement. It has more than 410,000 employees worldwide. The group operates 13 airports and services more than 100 million passengers.
($ = 0.8485 euro)