Thursday, May 27, 2010

Punta Colonet - Looking Back to 2006 Project Approval

In October 2006, Mexico's Secretariat of Communications and Transportation (SCT) authorized creation of a major deep-sea port at the sleepy farming and fishing village of Punta Colonet, on the Pacific Coast, 120 miles south of San Diego. The agency said that research confirmed that Colonet Bay has the depth and size to meet "all necessary services related to port activities." Real estate values have soared ever since in the area of Port Colonet, as it may be named.

At the time, railroad company Ferromex announced its intention to bid for the construction of a 320-km line to link Punta Colonet with Mexicali, the capital of Baja California. Ferromex is a partner of Burlington Northern and Union Pacific in the U.S. Ferromex said it had $280 million in cash on hand to build the line. (Ferromex would profit from container transportation and from increased shipment of mining products.)

Bidding for the $5-12 billion port facilities construction contract was expected from the major Pacific Ocean shipping lines.

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