Mexico: OHL to bid for La Raza-Indios Verdes-Santa Clara contract

OHL Mexico, a subsidiary of Spanish construction firm OHL, has confirmed it will bid for the construction and operation contract for Mexico’s La Raza-Indios Verdes-Santa Clara motorway. The 9.5km road worth around US$364 million will be let as a public-private partnership under the federal government’s National Infrastructure Programme, Mexico’s El Economista newspaper reported. A total of 14 companies are interested in the project, including Pinfra, Ideal, Prodemex, China Harbour Engineering Mexico
June 22, 2015 Read time: 2 mins
5494 OHL Mexico, a subsidiary of Spanish construction firm 980 OHL, has confirmed it will bid for the construction and operation contract for Mexico’s La Raza-Indios Verdes-Santa Clara motorway.

The 9.5km road worth around US$364 million will be let as a public-private partnership under the federal government’s National Infrastructure Programme, Mexico’s El Economista newspaper reported.

A total of 14 companies are interested in the project, including Pinfra, Ideal, Prodemex, China Harbour Engineering Mexico and GIA+A. All interested firms must present their economic and technical proposals by September 25.

According to the tender conditions, the winning company will be authorised to charge a maximum toll of fare of nearly 17 cents US per kilometre, although this could change if the country's financial situation affects substantially the economics of the contract.

OHL’s announcement comes after disagreements over progress on another project, Mexico’s Atizapan-Atlacomulco highway. Almost one year after work started, little progress appears to have been made. OHL said that the apparent lack of progress is due to the government not having arranged access to the road.

Sergio Hidalgo, director general for OHL Mexico, told investors in June that the land for the first of three stages of the project, covering 25km between Atlacomulco and Ixtlahuaca was released only in the first part of this year. Because of this late release, construction work can begin earliest this summer.

But the secretary of communications and transport has argued that OHL could have started work months ago. The government indicated that 53% of the land for the project has been released so far, providing sufficient area for work to start. The highway will cover 74km, with OHL's contract valid for 30 years, expiring in 2044.

OHL Mexico won the contract to build and operate the 74km road in central in March last year. The road will link Mexico's capital Mexico City and the western city of Guadalajara. The deadline for the highway to begin operating was originally May 15, 2016.
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