Macau’s six concessionaires signed extension contracts with the government on Thursday afternoon (23 June), each paying the government MOP$47 million for the privilege.
The concessions were due to expire at midnight at the end of this coming Sunday – 26 June – but have now been extend until 31 December 2022.
The signing ceremony took place at 4:30pm at government headquarters, where the Chief Executive of Macau and representatives of the six concessionaires, Galaxy Entertainment, Melco Resorts & Entertainment, MGM China, Sands China, SJM Resorts and Wynn Macau, signed the extension contracts.
As a condition of the extension, in addition to the renewal fee of MOP$47 million apiece, each of the six concessionaires are required to establish a “labor liabilities guarantee fund” for all employees within three months of signing the contract today.
The government noted that the main reason for extending the gaming concessions is that the bidding process for new gaming licenses could not be completed before the expiration of the current grant period on 26 June.
The government also revealed that the contract signed with the concessionaires stipulates that ownership of the casinos, together with all gaming equipment and appliances, will revert to the Macau SAR at the expiration of the concessions, so that any new operator can continue to use the existing gaming facilities under the blessing of the government.
The new Macau gaming law came into effect yesterday (22 June), with the publication in the official Macau gazette of number law no. 7/2022, a law to amend the existing gaming law 16/2001.