IDEAL and FCC close to join Magdalena river waterway PPP

Subscribe to our newsletter and get the latest news and business opportunities in your inbox
IDEAL and FCC close to join Magdalena river waterway PPP

IDEAL and FCC Americas, part of billionaire Carlos Slim's Carso Group, have declared their interest in taking over a majority stake in a project to improve transport on the Magdalena River in Colombia.

Navelena, the construction consortium that will carry out dredging on the river to increase cargo capacity, is formed by the Brazilian engineering Odebretch (87%) and Colombia's Valorcon (13%).

In May we reported that Odebrecht decided to leave its 87 percent stake in the consortium, which was the only bidder in the final stage of a tender process for the project. 

This announcement came after Marcelo Odebrecht resigned as President and Chief Executive Officer (CEO) of the company. After 6 months in detention and given the developments in his court case, Marcelo Odebrecht, on 11 December, decided to formally resign from his post. This was part of a huge anti-corruption investigation, which stemmed from a bribery scheme at Brazilian state-run oil company Petroleo Brasileiro SA or Petrobras

The project, awarded the project to the Navelena consortium in 2014, would be developed through the public-private partnership (PPP) model on design, build, finance, operation and maintenance (DBFOM) basis. It is estimated that construction work would take about six years. The total project investment is estimated at COP2500 billion (US$828.9 million).

Upon completion of the project, the river would have a depth of seven feet and could transport convoys of up to 7,200 tons (the equivalent of about 234 trucks). The river basin has a 27.3Mha surface area, equivalent to 24% of the country's continental territory.

List of country news

Country news

  • November 03, 2016

    ANI relaunches tender process for Pamplona Cucuta road PPP

    Colombia's National Infrastructure Agency (ANI) has announced it has launched a tender process to select candidates for the Pamplona Cucuta road PPP, part of the third wave of concessions 4G. Read more
  • October 26, 2016

    World Bank seeks consultants for waste PPP in Colombia

    The World Bank has launched a tender process to seek consultants for a waste PPP project in Colombia. Read more
  • October 21, 2016

    FC for the Rumichaca - Pasto highway PPP project

    The consortium "Concesionaria Vial Unión del Sur", formed by  Sacyr Concesiones Colombia SAS (60%) and Herdoiza Crespo Construcciones Colombia SAS (40%), has announced the financial close for the  in charge of the development of the Rumichaca - Pasto highway PPP project.

    Read more
  • October 19, 2016

    Financial close announced for Bucaramanga - Barrancabermeja - Yondó road PPP

    The Colombian Ministry of Transport, Jorge Eduardo Rojas Giraldo​, has announced financial close for a road PPP part of the second wave of 4G highway projects. Read more
  • October 03, 2016

    Financial close for Popayán - Santander de Quilichao road PPP

    The Popayán - Santander de Quilichao road PPP has reached financial close for COP806,600 (US$280 million) in Colombia. Read more

Share this news

Join us

In order to get full access to News section, you must have a full subscription. You can check all the benefits of becoming a member and purchase a subscription on our membership page.