MIDI plc has firmly stated that it is “not in default of its obligations under the deed of emphyteusis dated 15 June 2000”, in reference to its concession agreement for the development of Manoel Island.
The company also noted that “80 per cent of the Manoel Island concession is earmarked for public open spaces and heritage buildings,” in light of a petition – signed by over 29,000 people – calling for the island to be transformed into a public national park.
The statement was issued in response to a series of recent media reports indicating that the Government is reviewing the contract for possible breaches. The reports follow comments by Prime Minister Robert Abela, who shared that the concession is being analysed to determine whether any violations have occurred.
Opposition Leader Bernard Grech, also expressed his and the Nationalist Party's support for calls to turn Manoel Island into a public park.
“MIDI plc continues to operate in full compliance with all contractual and legal requirements and remains fully committed to the successful delivery of the Manoel Island project in terms of the approved Outline Development Permit which is definitively approved and not subject to further appeal,” the statement read.
The company also stated that it welcomes any “scrutiny or review by the Lands Authority, the Government or any other competent authority,” while emphasising that there is no legal basis for the cancellation of the emphyteusis.
MIDI reiterated that both the Government and the company have a duty to honour their contractual obligations.
It referred to the original timeframes outlined in the 2000 deed of emphyteusis, noting that the Government had agreed to a mechanism allowing these timeframes to be automatically extended.
This mechanism accounts for delays caused by permitting issues and archaeological discoveries. The company also referenced its 2024 financial statements to support its position.
“The company has listened to the concerns raised and remains amenable to discuss any further improvements with Government, bearing in mind the interests of its bondholders and shareholders as well as its other obligations,” the statement concluded.
MIDI also affirmed that it will “keep the market informed” of any developments.
Several MIDI plc bondholders are scheduled to meet with Prime Minister Abela today (Friday).
