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The Bogotá Metro Company (EMB) has announced that it has begun negotiating financing for the Line 1 PPP project with the World Bank and Inter-American Development Bank (IDB).
The state-owned company is hoping to secure US$600 million from both financiers for the design, financing, construction, procurement, testing, commissioning, operation and maintenance of the first line of the Bogotá Metro.
The line will travel 24km through the city, the capital of Colombia, located in the centre of the country. Trains will run every three minutes, stopping at 16 stations and handling 72,000 passengers a day.
The planned route goes from Portal de las Américas, the terminal station of the TransMilenio mass-transit system, located in the south-west of the city, to 72nd Street via Caracas Avenue. 10 of the stations will interchange with the TransMilenio.
The project is currently in tender. Earlier this month, Colombia's national development bank, FDN (Financiera de Desarrollo Nacional), disclosed that the Request for Expressions of Interest issued in April elicited 64 responses. EMB has disclosed that it will not open the next phase of the tender process until securing this financing.
The negotiations cover the particular conditions of the loans, such as disbursements, interest rates and terms. Once these are agreed upon, the financing will be submitted for approval to the Boards of the banks. EMB expects the loans to be approved in July.
EMB also plans to secure financing from the European Investment Bank (EIB), with negotiations scheduled to begin in June.
The total investment required for the project has not yet been disclosed, though estimations have been made, ranging from US$3.6 billion to US$5 billion.
FND and EMB aim to award the contract between May and June 2019. The line is scheduled to begin operations in 2024. It will be the first of a planned metro network. EMB projects that by 2030, 80% of Bogotá's residents will live less than a kilometer away from a mass transit line, metro line or main line.
Colombia's National Development Bank (FDN) has disclosed that around 64 companies have expressed interest in participating in the tender for the development of a metro line in the capital city, Bogotá. The projected value of the PPP contract is COP11.7 trillion (US$4.04 billion).
Read moreColombia's national development bank, Financiera de Desarrollo Nacional (FDN) has announced that the Transversal del Sigla road PPP project has reached financial close. The project involves the rehabilitation of 137km of road linking Sisga to Aguaclara, running through the departments of Casanare, Boyacá and Cundinamarca.
Read moreThe Ministry of Finance of the Government of Colombia has approved the new public-private partnership contract for the Magdalena River project, which was originally awarded in 2014 and cancelled last year.
Read moreAPP GICA S.A. has obtained the financing necessary to achieve financial close of the Girardot-Ibagué-Cajamarca (GICA) road PPP project. APP GICA was created by Constructora Colpatria, Mincivil, Termotécnica Coindustrial, Latinco and HB Estructuras Metálicas after they were awarded the concession contract in 2015.
Read moreThe state-owned Bogotá Metro Company (EMB - Empresa Metro de Bogotá) and Financiera de Desarrollo Nacional (FDN), Colombia's development finance institution, have issued a Request for Expressions of Interest to parties interested in participating in the tender process to select a suitable partner to take responsibility for the preliminary studies, design, financing, construction, procurement, testing, commissioning, operation and maintenance of the first section of Line 1 of the Bogotá Metro.
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