News Coverage
News Coverage
Malaysian Consortiums Dominate Tender for MRT Line 3
Property Guru, 23 January 2018
Mass Rapid Transit Corporation (MRT Corp) announced on Friday (19 January) that one Chinese joint venture and three Malaysian consortiums have submitted bids with proposed financing packages for building the MRT Circle Line (MRT Line 3) before the tender deadline last Thursday.
“(We are) pleased with the good response to the call for turnkey tender for the circle line where the majority of the tenderers are local consortiums that have been able to fulfil the requirements in participating in this tender,” said Datuk Zohari Sulaiman, Project Director for the circle line at MRT Corp.
The lone Chinese consortium is China Communications Construction Co Ltd-China Communications Construction Co (M) Sdn Bhd JV. On the other hand, the local joint ventures consist of Sapura-TIEC, Pacific-Mudajaya-JEC and MMC-Gamuda-George Kent.
Zohari explained that the bids will be assessed based on three primary criteria – the technical aspect, the consortium’s financial standing and the proposed financing package. One reason why MRT Corp opted to tender the MRT Line 3 project on a turnkey basis, instead of directly appointing a contractor or consortium, is to get the most favourable funding terms.
“We will try and get the lowest cost in financing. However, in the event that the financing package options are not favourable, we will revert to the old financing structure that is through DanaInfra Nasional Bhd.”
After evaluating the bids, MRT Corp will submit a recommendation to the Ministry of Finance, which will make the final decision, with the winning consortium expected to be named by Q1 2018.
Notably, the third MRT line has a length of 40 kilometres, of which 32km will be situated below ground. Aside from having 26 stations, the rail line will circle the outer edge of Kuala Lumpur City Centre and connect with Klang Valley’s urban rail network.
(Web source: https://www.propertyguru.com.my/property-news/2018/1/168239/malaysian-consortiums-dominate-tender-for-mrt-line-3)