The Vice-President of the Government pointed out that the private concession for the exploration and commercialisation of Lombadas mineral water is a 10-million Euro undertaking directed to foreign markets. "It is one of the many investments and investors we have managed to attract to the Azores these days."
 
"Today, we have dozens of new private investment projects involving investors outside the Region and they must implemented over the next few years," said Sérgio Ávila. He spoke at the signing ceremony of the contract granting the concession for the exploration of Lombadas mineral water to the company Atlantifalcom.
 
The Vice-President highlighted that this investment portfolio and our new investors are the result of a "hard and silent work that was carried out by everyone on an equal basis." Now, "it begins to bear fruit and will allow us to ensure the implementation of many new private investments financed by external funds in the near future."
 
According to Sérgio Ávila, the implementation of these investments will "further boost economic growth and the creation of more jobs in the Region."
 
As for the granting of the exploration of Lombadas mineral water, the Vice-President said it was "another example of the vision we defend regarding the encouragement of entrepreneurs' actions as the main driving force of economic activity."
 
"The initiative to provide the private sector with an important resource is part of a more comprehensive strategy of the Regional Government, which is to expand the Region's exports," said the government official.
 
Sérgio Ávila ensured that "the Region will continue to count on the collaboration of its partners," namely regional companies, in the search for the best solutions for the economic and social development of the Azores."
 
"The Government's role does not involve a direct intervention in economic activities, but rather the creation of the best conditions that foster economic development, through the generation of wealth and employment," said the Vice-President. In this regard, he noted the creation of several incentives as well as support and external promotion measures aimed at investors.
 
Sérgio Ávila highlighted, among others, the investment incentives provided for in Competir + and the business operating support included in the Internationalisation sub-programme, namely the "Access to Markets" measure. The latter, activated on certain conditions, subsidises 90% of the costs on the transport of Azorean products outside the Region.
 
The contract was signed today following a public tender open this year. It provides for the concession of the exploration of Lombadas Mineral Water for a period of 50 years. Three companies submitted their projects, which reveals their trust in this investment.
 
This period may be extended for a minimum of five years and a maximum of 15 years, up to a maximum of 90 years.
 
With this concession to private entities, the project will create more than 20 direct jobs and, due to its size, it will indirectly involve other sectors of activity.
 
In addition to the investment required to start operations, the Region will annually receive, after seven years from the signing of the contract, the amount of the operating costs corresponding to 2% of the net operating result.
 
The Government of the Azores believes in the "enormous potential of this resource," despite the complexity of the "operating conditions" due to its location, stated Sérgio Ávila. In this context, the Government has decided to open a new tender with the aim of promoting "a further boost in the diversification of investment and in the external competitiveness of the Region's economic activities."
 
The exploration of Lombadas Water began in the late 19th century and lasted through the late 20th century, achieving nationwide projection.
 
Its production was halted following a landslide that occurred in 1998. It destroyed the bottling plant; exploration activities have been suspended to date.