Union Railway has appointed Swiss bank UBS to provide financial advice in developing a strategic financing plan for the construction and operation of Union Railway.

A number of firms had submit bids for the financial advisory deal by 4 August (MEED 5:8:10).

“We are delighted to have received so many high quality proposals and look forward to working closely with UBS Investment Bank over the next few months,” says Richard Bowker, chief executive of Union Railway.

UBS will now start an intensive period of work with Union Railway to develop options for financing the construction and ongoing operation of the railway. The options will then be presented to Union Railway’s board.

Union Railway has now completed the alignment study for Dubai’s section of the $11bn national freight and passenger railway together with the emirate’s Roads & Transport Authority (RTA).

The first phase of the railway involves building a 265-kilometre line to connect the Shah gas field in the south of the emirate with oil and gas processing facilities at Habshan in the southwest and will be used to transport 10,000 tonnes a day (t/d) of granulated sulphur. A later phase will go on to connect Habshan with distribution facilities at the port of Ruwais in the Western Region and will be used to transport 20,000 t/d of sulphur.