STATE-run Cagayan Economic Zone Authority (Ceza) has signed a joint-venture agreement with the private sector- owned Cagayan Land Property Development Corp. (CLPDC) for the construction of an international airport worth P1.658 billion at the 54,000-hectare Cagayan Special Economic Zone.

Ceza administrator and CEO Jose Mari Ponce said in a statement that construction is set to begin within the month, with the project expected to be completed in a year.

“Once completed, the Ceza International Airport will complement the Port Irene Seaport, which is emerging as an international transshipment hub and tourism destination in the northeastern part of Luzon,” Ponce said.

Under the deal, Ceza will invest P691 million or 41.7 percent of the total equity, while its private partner CLPDC will pour in the remaining P966 million.

CLPDC, which signed the joint-venture contract through its president Basilio Rodriguez, was established in 2008. It is composed of CAMJ Construction Inc., LR Land Developers Inc., TCGI Engineers and Spanish firm Asesores y Consultores Aeronauticos SL, which will manage the operations of the airport once construction is finished.

The project involves the construction of a 2,200-meter runway, with a width of 45 meters, following the standards of the International Civil Aviation Organization. It will be designed to accommodate large aircraft like the Airbus A319-100, which has a typical seating capacity of 134 passengers.

It will also include a terminal building covering a floor area of 1,000 square meters, paved apron and tarmac that can accommodate two aircraft simultaneously, and a control tower.

The Cagayan free port is emerging as a major economic, tourism and Internet gaming hub in the Philippines.

Employment in the free port almost doubled from 3,000 jobs in 2007 to 5,800 in 2008.

It also hosts 86 foreign and domestic investors, of which 48 were already operational as of December 2008. These companies have committed to invest more than P13 billion.

“An international airport with international facilities and equipment is necessary to make Cagayan freeport a viable free-port and tourism destination in Asia,” Ponce said.

Port Irene is 12 hours away from Manila via land travel. Port Irene Cagayan economic zone can also be accessed through the Tuguegarao airport, although it still entails four-hour land travel