Bangkok--June 19--MDK Consultants (Thailand)
Phnom Penh, Cambodia, June 18, 2001 — Thai Prime Minister Thaksin Shinawatra and Cambodia Prime Minister Somdej Hun Sen today jointly preside over a contract signing ceremony between the Royal Government of Cambodia and SAMART Corporation via its subsidiary Cambodia Air Traffic Service (CATS) to extend from 15 to 22 years CATS concession to provide aeronautical radio and air traffic control services to Cambodia.
“To be awarded an extension right after the initial exclusive concession that was signed earlier this year is a matter of great pride for us,” said SAMART Corporation Public Company Limited president Thavatchai Vilailuck.
“The contract reflects the strong trust and confidence the Royal Government of Cambodia places on SAMART, gained over a 10-year period of business experience in the country.”
Another SAMART subsidiary, Cambodia Samart Communications Co., Ltd. (CASACOM), holds a leading position in Cambodia s mobile phone market.
CATS original 15-year concession was signed in January 2001. Under the extended aeronautical radio and air traffic control concession, CATS will upgrade efficiency of services once hampered by equipment and systems limitations. The company has selected world-class quality equipment from THALES ATM (formerly AIRSYS ATM), an expert in surveillance radar and control terminal systems under THOMSON | CSF AIRSYS group.
“Once the new system is completely installed, we will be able to provide world standard air traffic control services to Cambodia,” said CATS managing director Teerachai Phongpanangam, adding that the company s services will extend from flight take-offs and landings to aeronautical radio services for aircraft transiting Cambodian airspace.
To sustain relatively compatible standards, each country faces a fundamental necessity to improve its aero-communication and air traffic control, with emphasis on security and convenience for air travel.
CATS basic services include information on pre-departure flight plans, complete flight routes and weather forecasts. The services also include communications channels between ground control terminals and in-flight aircraft. This ensures that all flights in Cambodian airspace will benefit from take-offs and landings security, flying position location services in foreign airspace, altitude information, and navigation services to ensure fast, safe and cost-effective flights from departure to destination.
The air traffic control services business produces stable income and has a tendency to grow continuously. According to the 2000 statistics, more than 40 airlines totaled approximately 40,000 flights in Cambodian civil airspace, divided into 25,000 landings and take-offs and 15,000 overflights, a 20 percent flight increase over the previous year.
The main contributive factor to such a promising growth is the booming tourism industry in Cambodia. With world famous tourist and historic attractions like Angkor Wat to draw international visitors, the industry has enjoyed a significant increase in inbound tourists over the past few years, with a total record of 500,000 travellers in 2000. The number is expected to reach one million in 2005, which will increase annual flights to around 50,000 in the next three years.
CATS has an initial investment of USD15 million to purchase the required air traffic control equipment, including surveillance radar and control terminal, from THALES ATM, a world leader in the field which also supplies products to Singapore, Australia, Denmark, Greece and South Africa. Export-Import Bank of Thailand has approved a loan deal worth 600 million baht for CATS in May this year.
In addition, CATS will receive technical, operational and business management support from Aeronautical Radio of Thailand (AEROTHAI), which has over 50years experience in civil aviation communication services and professional reputation accredited from world leading airlines. “After extending the project, we are more confident to bring these two companies listed in the stock exchange in the future”, Khun Thavatchai said. End
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