Preferred bidder selected for East - West Link PPP project in Australia

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Preferred bidder selected for East - West Link PPP project in Australia

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The Government of Victoria (Australia) has selected East West Connect consortium as the preferred bidder for the East West Link PPP project.

The consortium is formed by: Capella CapitalLend Lease EngineeringAcciona Infrastructure AustraliaBouygues Travaux PublicsLend Lease ServicesLend Lease Infrastructure Investments, and Bouygues Construction Australia.

The team beat out competition from the other shortlisted consortium, Inner Link Group, which was made up of Cintra Infraestructuras, Retail Employees Superannuation, acting as Trustee for Retail Employees Superannuation Trust, Samsung C&T CorporationFerrovial Agroman, Ghella, Transfield Services, and Macquarie Capital.

Victorian Treasurer Michael O'Brien said:

"Following an extensive evaluation process the Victorian Government will now enter into exclusive negotiations with East West Connect to deliver what is one of the world's largest infrastructure projects currently out to tender."

Victorian Assistant Minister for Infrastructure and Regional Development Jamie Briggs, said:

"The East West Link will create thousands of new jobs, slash travel times for motorists and unlock the economic capacity of Victoria's transport network, which is why we are providing $3 billion towards both stages of the project."

In July, Matthew Guy, Victoria state Planning Minister, gave the green light for the development of the road project.

The East West Link project is a 18-kilometre cross city connection north of the Melbourne central business district. The full East West Link will improve the connectivity between Melbourne's established east and rapidly growing west, joining the Eastern Freeway at Hoddle Street with the Western Ring Road in Sunshine West.

The project cost is estimated at A$6 billion (US$5.56 billion). The East West Link project will be delivered as an availability PPP with the state initially retaining tolling and traffic risk.

Construction of the project is expected to commence in late 2014 with expected completion in 2019-20.

Melbourne is the capital and most populous city in the state of Victoria, and the second most populous city in Australia. It is a leading financial centre in Australia, as well as the Asia-Pacific region.

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