Government signs contract extensions with six concessionaires

Macau's government signed extended contracts with the six casino concessionaires in June 2022, at a time when 18 satellite casinos were still operating, according to a report by Cheng Pou published on 17 December 2022¹. The extensions bridged the period before the new ten-year gaming concession contracts took effect on 1 January of the following year¹.

The chairman of the bidding committee, Cheong Weng Chun, said that during the new concession period, satellite casinos that wished to keep operating went through the gaming committee's opinion and the chief executive's authorization, and after negotiations on preliminary contracts, 11 were approved to continue¹. Of those 11, eight belong to SJM Resorts, while Galaxy Entertainment and Melco each have one, namely Waldo Casino and Grand Dragon Casino respectively¹:

• Landmark Casino¹
• Kam Pek Paradise¹
• Royal Golden Dragon¹
• Fortuna¹
• Emperor Palace¹
• Ponte 16¹
• Macau Triumphal Arch¹
• L'Arc¹

Galaxy Entertainment and Melco each have one, namely Waldo Casino and Grand Dragon Casino respectively¹.

The seven satellite casinos that will not continue are all under SJM Resorts, including Casino Royal Dragon, Babylon Casino, Golden Dragon Casino, Million Dragon Casino, Diamond Casino, Oriental Casino, and the suspended Casino Marina¹. The 11 approved venues will operate for a three-year transition period under the current model, without needing to become management companies¹. After that, to continue they must operate as management companies, collecting only management fees and not sharing gaming revenue with the concessionaires¹.

The satellite casinos employed 54 people directly, 22 of them local residents, and the Labour Affairs Bureau will help with job transfers to ensure their labor rights are not harmed¹.

The government introduced a provision during the amendment of the gaming law requiring casinos to be located in properties owned by the concessionaires, without public consultation, which briefly made the survival of satellite casinos uncertain¹. The government later gave a transition arrangement allowing satellite casinos to operate under the existing model for three more years, but by then some satellite casinos had already chosen to exit early¹.

What it means for players

For players in Macau, the practical effect is that 11 satellite casinos remain open through the transition period, while seven have closed or will close. The 11 continuing venues operate under the same model as before, so the gaming floor experience at those locations is unchanged for now. The seven closing venues, all under SJM Resorts, will no longer accept players. Anyone who gambles at Macau's satellite casinos should note that the list of operating venues has changed. The Macau gambling guide covers the current licensing landscape, and players can check whether a specific venue is licensed using the licensed casinos check. The types of gambling licenses page explains how concessions differ from management company arrangements.

What happens next

The new ten-year gaming concession contracts took effect on 1 January of the following year¹. The 11 satellite casinos operate under the transition arrangement for three years, after which they must become management companies that collect only management fees and do not share gaming revenue with concessionaires¹.