US$8 billion road PPPs awarded in Argentina

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US$8 billion road PPPs awarded in Argentina

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The Evaluation Commission of National Roads in Argentina has signed a resolution to award six PPP projects which altogether require around US$8 billion investment.

The projects involve the design, construction, expansion, improvement, repair, remodeling, operation, maintenance and commercial exploitation of roads located throughout the country, grouped into six corridors.

The corridors are to be awarded to the following bidders:

  • A: Paolini, Vial Agro and INC
  • B: China Construction America and Green SA
  • C: Jose Cartellone Construcciones Civiles SA
  • E: Helport, Panedile, Eleprint and Copasa
  • F: Helport, Panedile, Eleprint and Copasa
  • Sur/south: Rovella Carranza, JCR SA and Mota - Engil.

The tender for the road corridors was launched in February this year. Ten bids were received, with nine Argentinian companies and seven international firms represented. Although many teams bid for more, each proponent could only be awarded a maximum of two corridors.

The road sections that comprise the six corridors have a total length of over 3,300km and are located in the provinces of Buenos Aires, Córdoba, La Pampa, Mendoza and Santa Fe. The US$8 billion investment encompasses US$6 billion during the first four years of the concession contracts and more than US$2 billion over the subsequent six to fifteen years in complementary works and maintenance. Construction works are set to begin in October this year.

The six corridors form the first stage of the Argentinian Ministry of Transport's Network of Highways and Safe Routes, which spans 7,277km. All of the road sections within the network are to be developed through PPPs. The works planned require a total investment of more than US$12.5 billion over the first 5 years of development and more than US$4.2 billion over the following 10 years.

Tenders for the other stages of the Network are due to be launched this year, with all of the roads within the network scheduled to be in operation in five years.

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