$1.8bn highway PPP reaches financial close
Hochtief, ACS, Dragados and Lafarge are on the winning team for a CA$1.8bn (£1.1bn) public-private partnership contract for next stage of the Edmonton ring road in Canada.
Alberta Transportation has selected Capital City Link General Partnership to design, build, operate, and partially finance the Northeast Anthony Henday Drive contract. Capital Link General Partnership is made up of subsidiaries of Meridiam, ACS and Hochtief. Design and construction of the project will be subcontracted to a joint venture made up of Flatiron Constructors Canada, Dragados Canada, Aecon Construction Management and Lafarge Canada.
The public-private partnership contract is worth CA$1.81 billion in 2012 dollars, to be paid over the 34-year term of the contract. Award of the contract follows a selection process that began in March 2011. The estimated cost of using traditional delivery was CA$2.18 billion, a saving of CA$370 million. The three bids were CA$1.81 billion, CA$2.03 billion and CA$2.22 billion.
Sections of the ring road were built in the 1970s and the 1990s and the current Anthony Henday Drive project began in 2000 with the construction of the southwest section.
The latest project includes 27km of six and eight-lane devided roadway, nine interchanges, two road flyovers, eight rail crossings (flyovers), and two bridges across the North Saskatchewan River, for a total of 46 bridge structures.
The Capital City Link General Partnership will start construction in June, with completion of the project scheduled for autumn 2016.
Capital City Link General Partnership's partners are Meridiam Infrastructure Neah ULC (a subsidiary of Meridiam Infrastructure North America Inc), ACS Neah Partner Inc (a subsidiary of ACS Infrastructure Canada Inc) and Hochtief Neah Partner Inc (a subsidiary of Hochtief PPP Solutions GmbH). The design and construction of the project will be subcontracted to a construction joint venture made up of Flatiron Constructors Canada, Dragados Canada, Aecon Construction Management and Lafarge Canada. The operations and maintenance will be subcontracted to Volker Stevin Highways.
A ground-breaking ceremony will be held this summer to mark the begining of construction.
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This article was published on 22 May 2012 (last updated on 22 May 2012).