Dubai Aviation Engineering Projects (DAEP) has yet to award the contracts for the baggage handling system (BHS), tunnel structure, and automated people mover (APM) at Al-Maktoum International airport, months after it received bids for the three separate contracts.

At least three firms submitted bids for the baggage handling system in December last year, seven contractors submitted an offer for the tunnel in April, while four firms submitted bids for the APM in August.

None of the three packages have been awarded so far despite the signing in May of a $3bn credit facility that are meant to be utilised for the expansion of both Al-Maktoum International and the operational enhancements of Dubai International.

“I’m afraid have nothing to tell you at this stage,” a source familiar with one of the contracts tells MEED.

It is unclear if the recently announced code-sharing agreement between Emirates Airline and low-cost carrier Flydubai, which originally planned to move its hub from Dubai International airport’s terminal 2 to Al-Maktoum International this year, has had a direct impact on the timeline of the airport’s $33bn expansion.

MEED understands the two airlines are now considering options including utilising Dubai International’s Terminal 3 or moving Flydubai from Terminal 2 to Terminal 1.

DAEP indicated in February that the award of the baggage handling system contract was “imminent.”

It cited the BHS as one of the most crucial and complex components of the $33bn expansion of the airport.

In 2016, DAEP signed several packages for the $33bn upgrade of Al-Maktoum International:

The awarded contracts include:

• Construction of apronsadjacent to the passenger terminal building: National Wheel J&P; $163m
• Enabling works: Tristar (local)
• Infrastructure package: Lane (US) / National Contracting & Transportation Company (NCTC) (local); $125m

Expansion work on the existing passenger terminal at Al-Maktoum International is expected to be completed next year. It will take the terminal’s annual passenger capacity from 5 million to 26 million.