BusinessMirror January 04, 2020

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ROTARY CLUB OF MANILA JOURNALISM AWARDS

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EJAP JOURNALISM AWARDS

BUSINESS NEWS SOURCE OF THE YEAR (2017, 2018)

DEPARTMENT OF SCIENCE AND TECHNOLOGY

2018 BANTOG MEDIA AWARDS PHILIPPINE STATISTICS AUTHORITY

LNG DASH

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A broader look at today’s business n

Saturday, January 4, 2020 Vol. 15 No. 86

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P25.00 nationwide | 12 pages | 7 DAYS A WEEK

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PHL takes a step closer to becoming Southeast Asia’s natural gas-fuel hub

S

By Lenie Lectura

OME promising developments taking place in the liquefied natural gas (LNG) sector have brought the country closer to its dream of becoming Southeast Asia’s hub for LNG a step.

“With the number of interested parties [aspiring] to build [the proposed] LNG terminal, I have no reason to doubt the realization of LNG hub in the Philippines that can serve not only our needs but also [of] the region,” said Energy Secretary Alfonso Cusi in a text message when asked how these developments are affecting the agency’s goal. For instance, the number of interested LNG players is grow-

ing. The latest that joined the list is the group of business tycoon Lucio Tan. According to DOE Undersecretary Donato Marcos, Tan’s group had asked the DOE to issue a notice to proceed (NTP) for its LNG project that will be located in Pinamucan Ibaba in Batangas City. “They have applied already,” said Marcos, who added that the application has already reached his Continued on a2

“We are acting as a de facto transshipment point for gas that is going to China… Now, we are closer to the realization of this project… The country now will become part of the LNG value chain because we can receive and export gas.”—Cusi

The year Indian tycoons faced bankruptcies, jail and death

F

By Bhuma Shrivastava and P R Sanjai

Here are some of the country’s biggest and most-storied businessmen who saw their fortunes fade. Spokespersons for none of these tycoons, except Essar, immediately replied to emails and text messages seeking comments.

Bloomberg

OR many Indian tycoons, 2019 turned woeful as lenders— empowered by the nation’s recent bankruptcy law and desperate to clean up soured debt from their books— started seizing assets of delinquent firms or dragged them into insolvency. Indian banks wrote off a record $39 billion of loans in the 18 months through September in a bid to repair their balance sheets as they battled the world’s worst bad debt pile. Making matters worse, a shadow banking crisis led to a funding squeeze, crushing debtladen businesses that were critically dependent on rollover financing. “Life has come a full circle for tycoons that had enjoyed debt-fueled growth,” said Nir-

mal Gangwal, founder of distress and debt restructuring advisory firm Brescon & Allied Partners LLP. “Many firms collapsed like a house of cards. The downfall was rather unprecedented.” The government has also been cracking down on economic crime to assuage public anger over absconding businessmen. It’s even barred some from traveling overseas if they were deemed a flight risk.

PESO EXCHANGE RATES n US 50.6460

Anil Ambani

THE chairman of Reliance Group, which makes movies to metro lines, had a close shave with jail time in March before his elder brother and Asia’s richest man, Mukesh Ambani, bailed him out at the last minute. The woes of the ex-billionaire came to the fore when India’s top court asked him to pay Ericsson AB’s India unit about $77 million of past dues or go to jail since Anil Ambani, 60, had given a personal guarantee. His telecom carrier slipped into insolvency this year, while unprofitable Reliance Naval & Engineering Ltd. faced a cash crunch. Reliance Capital Ltd. is selling assets to pare debt. Ambani is also fending off Chinese lenders in a London court. RELIANCE Group chairman Anil Ambani

DHIRAJ SINGH/BLOOMBERG

Continued on a2

n JAPAN 0.4666 n UK 66.5539 n HK 6.5030 n CHINA 7.2722 n SINGAPORE 37.5796 n AUSTRALIA 35.3813 n EU 56.5766 n SAUDI ARABIA 13.5034

Source: BSP (January 3, 2020)


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