The Philippines Board of Investments (BoI) has granted tax concessions to publicly-listed Lorenzo Shipping Corp. for a PHP486 million (US$10.4 million) ship development project.

The Manila Inquirer also reported that Lorenzo Shipping qualified for fiscal and non-fiscal incentives such as tax holidays. The firm is engaged solely in domestic inter-island cargo liner services and has a fleet of seven vessels.

BoI also said the Filipino company will operate a 5,998-ton vessel that will provide inter-island cargo service to Manila, Cebu, Dumaguete, Zamboanga route.

Lorenzo Shipping bought the 11-year-old vessel from Black Tetra Shipping of Malta for US$8.3 million. The project cost covers pre-operating expenses, vessel upgrade, equipment and working capital.