YANGON — The Ministry of Construction announced on Thursday that it had received 12 applications to build an elevated ring road around Yangon through a public-private partnership, which sources previously said could require as much as US$1.5 billion in private investment.
The ministry unveiled plans to conduct a tender for a 20.5 kilometre elevated highway in January and then in May announced that the project had been expanded to a 47.5 kilometre four-lane elevated ring road.
On May 18, the ministry invited expressions of interest from local and international companies, which generated an enthusiastic response, with 53 companies and consortiums signaling interest, according to a ministry announcement on July 4.
Twelve companies and consortiums have now submitted applications, as follows:
- VINCI Highways (France)
- Team Korea Consortium: GS Engineering & Construction Corp, Posco Engineering and Construction Co. Ltd, Lotte Engineering & Construction Co. Ltd, Daewoo Engineering & Construction Co. Ltd, Daelim Industrial Co. Ltd, Korea Expressway Corporation, Korea Overseas Infrastructure & Urban Development Corporation (Korea)
- China Communications Construction Company Ltd (China)
- JFEE/Marubeni Consortium: JFE Engineering Corporation, Marubeni Corporation (Japan)
- BSSIC Consortium: Bangkok Expressway and Metro Public Company Limited, Ch. Karnchang Public Company Limited, Shwe Taung Infrastructure Investment Company Limited, Shwe Taung Expressways Company Limited, Sumitomo Corporation, IHI Corporation (Thailand, Japan, Myanmar)
- CRIG-CDL Consortium: China Railway International Group Co. Ltd, Capital Development Limited (China)
- Shanghai Pengxin (Group) Co. Ltd Consortium: Shanghai Pengxing (Group) Co. Ltd, Transland Public Co. Ltd, Myanmar License Contractors Public Co. Ltd, Shenzhen U. Home Investment Group Co. Ltd (China, Myanmar)
- Metro Pacific Tollways Corporation (Philippines)
- China Gezhouba Group Co. Ltd (CGCG)/Great Genesis Gems Co. Ltd (GGG) Consortium (China)
- ITD-CSI JV: Italian-Thai Development Public Company Limited, China Shandong International Economic & Technical Cooperation Group Ltd. (Thailand, China)
- Denso-CSCEC Consortium (China, Myanmar)
- Power Construction Corporation of China, Limited (China)
The Ministry of Construction said on Thursday it would evaluate the twelve submissions and is planning to announce the list of the companies that qualify for the next round of consideration by the end of November.
Mr Vikram Kumar, country manager for Myanmar at the International Finance Corporation, which is the ministry’s lead transaction adviser on the project, has said it could be split into multiple sections to speed up construction.
He also said the project would be structured in line with international best practice in order to attract qualified investors.
The ring road, which is expected to connect Yangon Port in the downtown area with Yangon International Airport, Mingalardon Industrial Park and the Yangon-Mandalay Expressway, would significantly improve growth, Kumar said, and would expand economic opportunities.