Parsons Brinckerhoff and Parsons Systra wins contracts for management and engineering consultancy work on $11bn project
Abu Dhabi’s Union Railway Co, which plans to link the United Arab Emirates via cargo and passenger trains, awarded project management and engineering contracts, chief executive Richard Bowker said.
Parsons Brinckerhoff Inc and Parsons Systra won contracts for management and preliminary engineering consultancy work on the 40 billion-dirham ($11bn) project, Bowker said at a conference in Abu Dhabi today. He said Union Railway will tender construction contracts for its first segment in early 2011.
Union Railway hired UBS AG to advise it on financing, Bowker said, adding "we’re looking at various procurements and financing options." He declined to give the value of the contracts.
The government-led project’s first phase will link state energy producer Abu Dhabi National Oil Co’s Ruwais port to gas treatment facilities at Habshan and then to the Shah natural gas field in the desert southwest of Abu Dhabi city. It will later link Abu Dhabi to air and seaports in Dubai and other emirates.
The venture between US-based Parsons Corp and France’s Systra Group won the contract for project management for the lines within Abu Dhabi and to Dubai and neighboring emirates. Parsons Brinckerhoff will handle preliminary engineering on the lines to Dubai and other emirates.
The UAE rail line will link with a train system covering the six nations in the Gulf Cooperation Council within seven years, Bowker said. The UAE, Saudi Arabia, Kuwait, Oman, Bahrain and Qatar comprise the GCC.
Union Railway has since terminated these contracts with Parsons Brinkerhoff (Design) and Systra/Parsons (Project Management). Since then Design work has been awarded to ATKINS and PM work yet to be awarded. Bearing in mind that Union Rail has already terminated Bechtel's contract for Project Management last year for the same project.
This raises the question to why contracts are being terminated, after all these are well known international companies. This kind of terminations are highly unusual and not heard off in the Rail Sector.
That is a questionable record. Something must be amiss on relationship, commercial or technical elements. Interested in following this.
Does anyone know what form of construction contract Union railway might be planning to use for the forthcoming civil works packages?