Construction on US$113mn Los Molinos-Córdoba canal to begin October

- Friday, August 5, 2011

Construction on US$113mn Los Molinos-Córdoba canal to begin October

Argentina's Córdoba government expects construction on a project to repair the Los Molinos-Córdoba canal to begin in early October, the province's deputy secretary of water resources, Luis Salamone, told BNamericas.

"We'll be awarding the tender in about 30 days, with work beginning during the first few days of October," Salamone said.

Local firm Benito Roggio e Hijos, which presented an economic offer of 488mn pesos (US$118mn) for the tender on August 2, is the likely winner of the project.

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Local firm JCR also presented a bid of 490mn pesos, BNamericas reported at the time.

"Failing any serious issue with the analysis of the expenses, at this stage only the cost of the project is evaluated, because both firms qualified in terms of economic, technical and financing [requirements]," Salamone said.

Six companies purchased bidding rules for the project which had an official budget of US$113mn. The provincial government will provide US$49mn in financing for the initiative through a loan from Latin American development bank CAF.

Work involves replacing some 30km of the existing canal, which has been damaged by shifting soil, with encased tubing and building two new pumping stations. Construction is scheduled to take 24 months to complete.

The project aims to secure a short and long-term supply of water for the Bower potable water plant, which serves the southern and southeastern sectors of Córdoba city.