Qatar moves to complete airport ahead of December opening

14 August 2012

Contractors in negotiations for interior fit-out of New Doha airport as facilities management contracts are tendered

Qatar is moving to complete its $17.5bn New Doha International Airport (NDIA) project in time for its planned 12 December opening.

It is in negotiations with contractors to take on the interior fit-out work left unfinished by the UAE/German Lindner Depa, and is tendering a series of facilities management (FM) contracts to operate and maintain the airport once it has opened.

Lindner Depa’s 16-month $245m contract, which comprised the interior fit-out of all 17 lounges at the airport, was terminated in June.

Depa says the contract was terminated because the joint venture refused to accept new non-favourable contract terms and conditions, including dropping all extension-of-time costs and acceleration costs. It also says it has been denied full access to the project site to perform its contract scope of work for the first nine months of the 16-month contract. The UAE-based contractor also says its AED96m ($26m) contract performance bond and AED81m advance payment guarantee have been cashed. It was awarded the contract in October 2011.

The fit-out works need to be completed this year if the airport is to open as planned on 12 December.

As the airport’s opening date approaches, companies have started to win FM contracts for the NDIA project.

The Saudi Binladin Group has secured the first FM package, known as FM1, which involves the operation and maintenance of the new airport’s cargo facilities.

Another FM package is close to being awarded. A recommendation for contract FM3, which covers the operation and maintenance of the airport’s utilities building, has been made to the NDIA Steering Committee.

Bids for two other contracts are currently being evaluated. The two packages are FM2, which covers the catering facilities, and FM6, which is for the operation and maintenance of the airports airfield ground lighting.

Companies are also preparing to submit bids for a fifth FM package, known as FM5, for the maintenance of the airfield.

Four other FM packages will be tendered later. They are FM7 for the airport’s road network, FM8 for the passenger terminal and cleaning – the project’s largest FM deal, FM10 for the airline support facilities and FM11 for the Emiri Terminal.

The engineering, procurement and construction management (EPCM) contractor for the NDIA project is US-based Bechtel. The client is the NDIA Steering Committee.

In May Doha said it will allocate an additional $2bn to completing the construction of the airport, taking the final budget to $17.5bn.

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