Brazil contracts group to help develop US$40bn railway concessions

Thursday, January 29, 2015

Brazil's logistics and planning group EPL has awarded an 8.81mn-real (US$3.41mn) engineering consultancy contract to the STE-Siscon consortium to help prepare upcoming railway concessions, according to tender documents.

The consortium, which was required to prove experience in developing railway projects of at least 247km, will need to evaluate expressions of interest for potential railway concessions for up to one year.

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Work includes analyzing technical, economic and environmental feasibility studies, as well as the revision and follow-up of projects if needed.

The consortium's offer was 18% below the 10.8mn-real ceiling price set by EPL, the documents said.

Under Brazil's logistics improvement plan PIL, some 99.6bn reais (US$40bn) in work is planned to build and improve approximately 11,000km of railways throughout the country. Works are being administered through federal rail company Valec.

Construction of Norte-Sul Railway in Anápolis, Goiás (CREDIT: Valec)