Construction of MRT 7 expected to start soon

Diversified conglomerate San Miguel Corp. said it will select the final contractor for the planned Mass Railway Transit Line 7 project within the next 30 days.

San Miguel president and chief operating officer Ramon Ang said the company was conducting the final round of negotiations with interested  contractors for the big-ticket infrastructure project.

“We are on the last round of final negotiations. The contractor will be known within the next 30 days,” Ang said, without disclosing details of the negotiations.

Ang said after selecting the winning contractor for MRT 7, the company expected to immediately commence the development of railway project, which aims to decongest traffic in Fairview, Quezon City.

San Miguel said last year it would bid out the construction contract for the $1.2-billion mass railway transit project that was previously awarded to the consortium of Consunji-led D.M. Consunji Inc. and Marubeni Corp. of Japan in 2012.

It said a rebidding was conducted because of the need to update the project’s cost as prices of construction materials had changed substantially since 2012.

It was only in 2014, when Universal LRT, a railway firm controlled by San Miguel, secured the performance undertaking for MRT 7 project from the Finance department.

A performance undertaking represents a financial guarantee on the part of the government.

The MRT 7 project involves the construction of a 22-kilometer train line with 14 train stations from San Jose del Monte in Bulacan to the corner of North Avenue and Epifanio de los Santos Avenue (Edsa) in Quezon City. It also includes a 22-kilometer six-lane road from the MRTS depot in Bulacan.

The MRT 7 project will be linked with the MRT-3 train line and the Light Rail Transit Line 1 via a common station in North Avenue.

Aside from the railway project, ULC plans to develop 900,000 square meters of commercial space throughout the concession period.

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