Contract finalised for $2.5bn extension of Sydney Metro rail project

WCN Editorial Team 26 Nov 2019 OCEANIA TRANSPORT INFRASTRUCTURE

The Government of New South Wales (NSW) has finalised public-private partnership (PPP) contract with the Northwest Rapid Transit (NRT) consortium to extend the Sydney Metro rail project in Australia.

The NRT consortium comprises MTR Corporation, John Holland, CPB Contractors, UGL Rail and Plenary Group.

The A$3.7bn ($2.5bn) extension contract, which forms part of the next stage of the Sydney Metro project, involves A$1.7bn ($1.15bn) for new metro trains and core rail systems.

Additionally, the contract includes A$2bn ($1.3bn) for operations and maintenance of the combined North West and City and Southwest lines until 2034.

Plenary, serving as the consortium’s principal commercial adviser, investor and financial arranger, has worked alongside project lead MTR to complete arrangements required for the extension to their existing PPP contract.

The consortium initially signed the contract with the New South Wales government in 2014 for the first phase of the Sydney Metro project. The project entered service earlier this year.

By integrating the Sydney Metro City and Southwest project with the recently opened Metro North West line, the PPP will now deliver a 66km line involving 31 stations from Tallawong to Bankstown.

Plenary CEO Paul Oppenheim said that the Plenary and MTR teams had been working on the multi-stage process for more than three years to deliver certainty and value-for-money to the State of New South Wales.

Oppenheim added: “It was a process that demanded early agreement on the technical and commercial structures, establishing a fixed price and detailed terms for the extension.

“The discipline required to achieve a fixed contract price is an outcome all parties can be very proud of in the current climate of price escalation. This is also a great advertisement for the flexibility of PPPs.”

As part of the expanded project, the consortium will be responsible for the integration of the existing Metro North West, and the metro rail conversion of the Sydenham to Bankstown suburban line.

For the extension project, MTR will design, integrate and deliver the package, which will be supported by Alstom for trains and signalling; Thales for communications; UGL for radio; and Gilgen for platform screen doors.

Plenary and MTR are working alongside the NSW Government’s Sydney Metro authority to finalise details of the contract and achieve financial close, which is scheduled in the near future.

---------------------------------------------------------------------------------------------------------------------------------------
Image: Plenary is the NRT consortium’s principal commercial adviser, investor and financial arranger for the Sydney Metro project. Photo: courtesy of Plenary Group.

With 11 websites and newsletters covering all the key areas within the construction industry, World Construction Industry Network is the leading global construction information resource. READ ABOUT US
PRIVACY POLICY

STAY IN TOUCH!

LATEST TWEETS

World Construction Network | www.worldconstructionnetwork.com is a product of GlobalData. Copyright © 2019 GlobalData. All rights reserved.