The city’s six gaming operators have seen their concession and sub-concession contracts extended for about six months, until December 31.
Representatives from the Government and the six companies signed the extension documents today (Thursday) at 4:30pm at the Government headquarters.
First, Chief executive Ho Iat Seng and representatives from the three concession holders – SJM Resorts S.A., Wynn Resorts (Macau) S.A. and Galaxy Casino, S.A. – signed the contracts to amend the concession terms for the operation of games of chance in casinos.
Then the three concessionaires granted the same extension in their contracts with their respective sub-concessionaires: MGM Grand Paradise, S.A., Melco Resorts (Macau), S.A. and Venetian Macau, S.A.
An executive order by Chief Executive Ho Iat Seng published today in the Official Gazette extends the gaming concessions until December 31.
Considering that and taking into account that “the process of the new public tender (…) will not be concluded before the expiry of the concession period, the exceptional extension of the concession period (…) will not only ensure the smooth running of the public tender process, but will also contribute to the maintenance of social stability, namely the stability of the labour market,” the executive order reads.
The executive order, signed by Ho Iat Seng on June 20, comes into effect today, the date of publication.
Operators pay additional MOP47 million
In return for the extension of the concession period for the operation of games of chance in casinos, the gaming concessionaires/sub-concessionaires will pay the MSAR an additional amount of 47 million patacas, according to a statement issued by the Government Information Bureau. Also, “the gaming concessionaires/sub-concessionaires will need to set up a guarantee for the fulfillment of labour commitments, with a view to providing guarantees to their workers within three months from the signing of the extension of the contracts.”
The Government adds that through the new amendment to the contracts, the authority applies he reversion of casinos and all their equipment and utensils to the Region, after the termination of the concession, in accordance with Law no. 16/2001 (Macau Gaming Law). This is “to ensure that future concessionaires for the exploitation of games of chance in casinos can continue to use the existing gaming facilities, guaranteeing a perfect articulation between the old and future concessions”.