BUILDING THE MANILA & DAGUPAN RAILWAY
The Contractual Agreement, drawn up in Madrid on 27 March 1888 between Edward Sykes Heft and the Spanish Minister of the Colonies, to build the Manila and Dagupan Railway, guaranteed by the deposit of 130 bonds of Redeemable 4% debt, amounting to 1,154,000 pesetas, which will be returned with the proper formalities.
Signed by the Treasurer, Enrique Morales, and dated 20 May 1888, certified by the British Consulate in Madrid and dated 28 March 1888, With the stamps of the Colegio Notarial del Territorio de Madrid, three pesetas, and of the British Consulate, 4 pp. folio, [with] a contemporary translation in English 4 pp. folio, [with] The Office of Antonio de la Cámara y Lopez de Roda, Chief Engineer of Roads, Canals and Ports and Inspector of the Manila to Dagupan Railway document dated 10 August 1894 confirming the completion of the works of the first section of the railway and describing the bridge built at Kilometre 46.
Signed and dated Manila, 20 August 1894.
With the stamps of Recibos y Cuentas Filipinas (10 centavos) and Colegio Notarial de Manila (one peso) 4 pp. folio, [with] The Office of Antonio de la Cámara y Lopez de Roda, Chief Engineer of Roads, Canals and Ports and Inspector of the Manila to Dagupan Railway, document dated 1st October 1894 which states that on 1st May 1894 the first section of the Manila to Dagupan Railway line was declared open and the bridge over the Rio Grande de la Pampanga had been completed,
An 8% dividend should now be paid, being the amount that the Philippines Treasury should remit to the Concessionary Company of the Manila to Dagupan Railway to exploit three sections of the line,
Signed and dated Manila, 3 October 1894.
With the stamps of Recibos y Cuentas Filipinas (10 centavos) and Colegio Notarial de Manila (one peso), 9 pp. folio, some little soiling and fraying at edges,
"The Manila to Dagupan railway was the single most important infrastructure built during the Spanish colonial period that was not initiated by the Church" (Arturo C. Corpuz, The colonial iron horse. Quezon City 1999).
Plans began to be drawn up on 25 June 1875, and construction by the Manila Railway Company started in 1887.
The terms of the concession stated that 1) It was for 99 years starting on 21 January 1887; 2) The Spanish subsidy guaranteed the Manila Railway Company an 8% interest on invested capital; 3) The Manila Railway Company maintained the fiscal control and management of the railway for the entire duration of the concession, and 4) There was no minimum period of commitment, meaning that the Manila Railway Company could withdraw at any time it felt that the construction or operation was unprofitable.
The Manila Railway Company was the only bidder for the contract.
Construction started on 31 July 1887, and the entire line was opened to traffic in Nov. 1892, a distance of 120 miles.
Stock ref: 14281