Brazil in talks with Porto Alegre airport operator over contract modifications
Brazil’s government is in talks with representatives of Fraport Brasil, which operates Salgado Filho airport in Porto Alegre, capital of Rio Grande do Sul state, over potential concession contract modifications.
Salgado Filho has been closed since the start of May, when the state suffered devastating effects from heavy rains and flooding.
In addition to the financial impact from the stoppage, the runway and airport terminal suffered structural damage.
According to an official from the ports and airports ministry consulted by BNamericas, the damage could reach 700mn reais (US$130mn).
German group Fraport AG Frankfurt won the 25-year concession contract at an auction in 2017.
The government is looking at potential contract modifications and financial compensation, which would be subject to approval by the country's audit court, said the spokesperson.
The partial reopening of the airport with around 50 daily flights is expected in October, while full operations are expected for December.
Fraport is working to free up 1,700m of the runway by October. In a second stage, the company will carry out repairs on the remaining 2,000m for the full December reopening.
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