Headline MRT Corp invites bids to build and finance MRT3 MediaTitle The Edge Financial Daily Date 07 Nov 2017 Color Full Color Section Home Business Circulation 15,000 Page No 1,8 Readership 50,000 Language English ArticleSize 501 cm² Journalist Sulhi Azman AdValue RM 5,492 Frequency Daily PR Value RM 16,475

MRT Corp invites bids to build, fi nance MRT3 8 HOME BUSINESS MRT Corp invites bids to build and fi nance MRT3

Analysts have estimated that the Circle Line will cost between RM35 billion and RM40 billion

BY SULHI AZMAN power supply and other related must also demonstrate a posi- “Any tender that is not accom- the MRT3 would cover Ampang structures for the project. tive earnings ratio over the last panied by a tender bond will be Jaya, City Centre, KUALA LUMPUR: Mass Rap- “Th e permanent works shall be three years, calculated based on rejected,” MRT Corp added. Jalan Bukit Bintang, the Tun Razak id Transit Corp Sdn Bhd (MRT designed to permit the railway to the average net profi t to average Prior to submitting the tender, Exchange, Bandar Malaysia, KL Eco Corp) is inviting local construc- operate at a maximum operating turnover. MRT Corp said prospective ap- City, Pusat Bandar Damansara, tion and infrastructure develop- speed of 100km per hour, with As for the fi nancing proposal, plicants are required to attend a and Sentul. ment companies to participate an operationally proven grade of MRT Corp said it should include tender briefing on Nov 15, and MRT3 will also be integrated in its tender to select a turnkey automation — level 4 signalling a minimum fi nancing period of the tender document can be pur- with the MRT Sungai Buloh-Ka- contractor to build and fi nance, systems for [the] driverless urban 30 years, with a drawdown period chased from that day until Nov 29, jang Line (MRT1) and the Sun- on a turnkey basis, the upcoming metro system,” the notice read. of up to 2028, while the margin of for RM53,000. gai Buloh-Putrajaya-Serdang Line mass Line 3 (MRT3), To participate in the tender, fi nancing must not be less than Th e upcoming MRT3, the fi nal (MRT2). also known as the MRT Circle Line, MRT Corp said prospective ap- 90% of the expected project cost. alignment in the overall scheme of MRT1 was built at a cost of which analysts have estimated will plicants may form joint ventures MRT Corp said fi nancing can the urban rail line, will feature 26 RM21 billion, RM2 billion lower cost between RM35 billion and (JVs), consortiums, partnerships be obtained in fi ve diff erent cur- stations, of which 19 stations are than initially forecast, while MRT2, RM40 billion. or similar arrangements — with rency denominations: the ringgit, underground and seven stations which is still under construction, According to the notice of ten- or without a separate legal entity. US dollar, yuan, yen or euro. elevated, the company added. is estimated to cost RM32 billion der, MRT Corp said the successful As for a JV, MRT Corp said it “The financing shall be in a In his Budget 2018 speech, to complete. bidder will be responsible for the must not comprise more than eight single currency only, which must Prime Minister Datuk Seri Na- In September, CIMB Invest- engineering, procurement, con- members. match the currency of contract jib Razak said the government, ment Bank Bhd estimated that struction, testing and commission- To qualify and participate in price payments,” MRT Corp added. through MRT Corp, will expedite MRT3’s construction cost would ing of the 40km MRT3, featuring the tender, MRT Corp said pro- Tender document submission the construction of MRT3 and ex- range between RM35 billion and 32km of twin-bored tunnels and spective applicants must meet must be accompanied by a tender pects it to be completed by 2025, RM40 billion, on the assumption 8km of elevated viaducts. the minimum fi nancial capacity bond, which should be in the form earlier than the initial target of that it will cost RM1 billion per MRT Corp said the selected of having a paid-up capital and a of a bank guarantee, valued at RM5 2027. km for the underground portion, bidder is also expected to develop shareholders’ fund that is not less million, and will remain valid for While MRT Corp has not re- which is benchmarked on MRT2, tunnels, viaducts, stations, depots, than RM5 billion. the next 180 days from the tender vealed the alignment of the upcom- and RM500 million per km for the trackwork, rolling stock, signalling, MRT Corp said the applicants closing date of Dec 29. ing rail network, it was reported that above-ground portion.