The Chief Executive, Mr Ho Iat Seng, represents the MSAR Government to sign the amended concession contract with SJM Resorts, S.A. representative.
The Government of the Macao Special Administrative Region (MSAR) has approved applications by the three existing gaming concessionaires and their three sub-concessionaires, regarding extension of their licence contracts for the operation of games of fortune to 31 December 2022 inclusive.
The concession contract extensions were signed today at the Government Headquarters by the Chief Executive, Mr Ho Iat Seng, with representatives of respectively SJM Resorts, S.A.; Wynn Resorts (Macau), S.A.; and Galaxy Casino, S.A.
Separately, representatives from the Gaming Inspection and Coordination Bureau witnessed the signing of contract extensions by the aforementioned three companies with their respective sub-concessionaires: MGM Grand Paradise, S.A.; Melco Resorts (Macau), S.A.; and Venetian Macau, S.A.
The third paragraph of Article 13 of Law No. 16/2001 (“Legal Framework for the Operations of Casino Games of Fortune”) stipulates that the duration of licence contracts for the operation of games of fortune or chance, or other casino games, can be extended one or more times, up to a certain maximum of additional time.
The Government approved this particular extension after considering the fact that a fresh public tender on gaming rights could not have been completed by the original expiration of the existing concession and sub-concession contracts, i.e., 26 June 2022. The extension was to ensure the smooth progress of the public tender process.
In return for the extension, the three concessionaires and three sub-concessionaires are each required to make a one-off payment amounting to 47 million patacas to the Government. Additionally, the companies are each required to set up – within three months of the signing of the contract extension – a fund covering any payments that might come due to their workers. This is in order to offer protection to their employees.
The Government also seeks – via amendment in these extension contracts of terms set out in the existing contracts – to support fully an intention of Law No. 16/2001. This is regarding the mechanism guaranteeing the Government’s ownership of gaming premises along with associated equipment and appliances, in the event a concession is either revoked or an existing concessionaire does not gain fresh rights in a public tender. This is in order to make sure any new or alternative operators can take on existing gaming equipment, ensuring a seamless transition between a former and a new operator.
The Government will step up effort to facilitate the orderly and healthy development of the gaming industry. The Government will continue to ask the gaming concessionaires and sub-concessionaires to fulfil their social responsibilities and to contribute to the adequate economic diversification of Macao.
