Kuwait to invite interest in metro contracts

19 February 2012

First packages will cover rolling stock and systems

Kuwait’s Partnerships Technical Bureau (PTB) says it plans to invite companies to submit expressions of interest (EoI) “shortly” for a contract that covers the procurement of rolling stock and system for the $7bn metro project.

The successful company will provide rolling stock and systems for the entire metro network. Following this, the PTB says it will invite bids for the civil infrastructure and operations for phase one.

When complete, the Kuwait metro network will be 160 kilometres long and will have 69 stations. Phase one covers the construction of about 50km with 28 stations. About 30 per cent of phase one will be underground. The remaining four phases will be constructed depending on demand.

The PTB has also recommended to cabinet a financing structure for the project, which involves a government subsidy. The metro is part of the PTB’s privatisation programme that is expected to generate $28bn through the development of 32 projects.

A UK consortium comprising Ernst & Young, Ashurst and Atkins won the transaction advisory contract for the metro in August 2010. The group validated the feasibility study and will oversee the tender process.

The Higher Committee, which is chaired by the Finance Minister has now approved the feasibility study and the procurement structure and packages. Other packages to be tendered in the future include a system integrator PPP company, four infrastructure PPP companies and an operator.

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