Marina Coastal Expressway

QX179R SG

LTA Awards First Two Civil Contracts for Singapore’s Tenth Expressway – The Marina Coastal Expressway

1. The Land Transport Authority (LTA) today awarded the first two of six civil contracts for the construction of the Marina Coastal Expressway (MCE), signalling the start of work on Singapore's newest expressway.

2. The MCE will be the tenth expressway in Singapore, a major part of the strategic island-wide road network to support the long-term growth of Singapore. The MCE is expected to be completed by 2013.

3. The construction of the MCE is part of the government's commitment to improve Singapore's land transport network in the next 10 to 15 years.

4. "The MCE is one of many important initiatives to expand Singapore's land transport network into the Marina Bay area. To meet the needs of Singapore's growing population, LTA is committed to deliver a broad array of projects to support sustainable growth for a vibrant city. We are pleased that many world class contractors with proven track record are keen to partner us for the new projects to come. The LTA remains on course to deliver the improvements to the land transport network as part of our Land Transport Master Plan," said LTA Chief Executive, Mr Yam Ah Mee.

5. The first two civil contracts are awarded to Penta-Ocean Construction Co. Ltd and Sato Kogyo(S) Pte Ltd. - Daelim Industrial Co. Ltd Joint Venture.

6. Construction works for the MCE are expected to commence in the first quarter of 2009.

CONTRACT 485

7. Contract 485 is awarded to Penta-Ocean Construction Co. Ltd at a sum of $669.7 million. Contract 485 comprises the design, construction and completion of 700m of dual 5-lane vehicular tunnel structure, of which approximately 420m is below the Marina Bay Crossing.

8. Penta-Ocean Construction Co. Ltd is currently involved in a number of major construction projects, such as the reclamation of Pasir Panjang Terminal Phases 3 and 4, the Shell Ethylene Cracker Complex at Pulau Bukom, the ION Orchard and the Artscience Museum at Marina Bay Sands Integrated Resort.

CONTRACT 487

9. Contract 487 is awarded to Sato Kogyo(S) Pte Ltd. - Daelim Industrial Co. Ltd Joint Venture at a sum of $732.6 million. Contract 487 comprises the design, construction and completion of approximately 700m of dual-carriageway main vehicular tunnel, 1,550m of slip tunnels, at-grade roads connecting to the ECP and Fort Road, and an interchange with KPE/ECP.

10. Sato Kogyo(S) Pte Ltd is currently involved in a number of major construction projects, such as the construction of Marina Bayfront Bridge, the Boon Lay MRT Extension, the OUB Centre and the District Cooling System Box at Marina Bay Sands Integrated Resort.

ABOUT THE MCE

11. The dual 5-lane, 5km long MCE is a key element of the strategic island-wide road network to support the long-term growth of Singapore. The underground east-west transport link runs between the Kallang-Paya Lebar Expressway (KPE), the East Coast Parkway (ECP) and the Ayer Rajah Expressway (AYE), with direct connections to the Marina South and Straits View areas.

12. The MCE's total route length includes a 3.6km long road tunnel, two ventilation buildings and 13.1 hectares of land reclamation. It also includes 3 interchanges with KPE/ECP, Marina Boulevard and Central Boulevard, and the AYE.

13. With several upcoming developments such as the Marina Barrage, the Marina Bay Sands Integrated Resort, the Sail @ Marina Bay and the Marina Bay Financial Centre in the vicinity, the MCE will cater to the projected increase in traffic volume generated in the Marina Bay area and serves as an essential transport link from the Marina Bay area to the rest of the island.

Annex A - Artist's Impression

QX179R SG

LTA awards two more civil contracts for Marina Expressway worth more than $1.6b

The Land Transport Authority, LTA, has awarded two more contracts worth more than $1.6 billion for the construction of the Marina Coastal Expressway or MCE.

With the award of the two new contracts, LTA has awarded four out of the six civil contracts to construct the expressway.

In addition, the LTA has also awarded four contracts for the provision of various Electrical & Mechanical and Cladding systems required for the road tunnel.

Works for the MCE are expected to star in the first quarter of next year.

The MCE includes a 3.6 kilometre long road tunnel that will run through segments of reclaimed land as well as a 420 metre section that runs below the seabed of Marina Bay.

The 5 kilometre long MCE is expected to be completed by 2013. --938Live

QX179R SG

New expressway to cost $5b?

MCE already $600m over budget; poor soil, higher construction costs cited as reasons

THE new Marina Coastal Expressway (MCE), which will link the new downtown to the western and north-eastern suburbs, is busting its budget in a big way.

With four out of six major contracts awarded, expenditure on the 5km-long underground and undersea road has already hit $3.1 billion - $600 million more than its $2.5 billion estimated price tag.

When the five-lane dual-carriageway expressway opens in 2013, it could cost between $4 billion and $5 billion, which will make it the costliest road here for years to come.

The Land Transport Authority (LTA) has attributed the cost overrun to a general spike in construction cost, and also to poor soil conditions that required strong temporary walls to prevent accidents.

A former LTA executive said: 'The cost is staggering. Compared with it, the KPE is nothing.'

The 12km-long, largely underground Kallang-Paya Lebar Expressway (KPE) cost $142 million per km, nearly four times the $37.5 million spent on the Central Expressway in 1991.

Another expensive road to come is the 21km-long, $8 billion North-South Expressway to link Thomson to the city. To be completed in 2020, it is now expected to cost $381 million per km.

But should the MCE hit $5 billion, it would top them all, costing an unprecedented $1 billion per km.

The project is so massive that civil works have to be carved up into six portions, so that the builders are not overstretched.

Even so, industry players said each portion would pose a cash-flow challenge to builders. The civil contracts have so far been secured by Ssangyong Engineering & Construction, Samsung C&T, Penta-Ocean Construction and Sato Kogyo-Daelim Industrial - all foreign groups.

Elaborating on the cost spiral, LTA chief executive Yam Ah Mee said construction costs had gone up.

'Given the poor soil conditions and the reclaimed land at the location where the MCE will run and the many engineering challenges, it is important that we put in place a more comprehensive and robust temporary wall system for the tunnel excavations.'

Construction industry observers said such beefed-up engineering requirements - mandatory since the Nicoll Highway collapse in 2004 - contribute to the higher costs.

The LTA declined to reveal the revised cost of the project, saying that doing so could influence bids for the remaining contracts.

The MCE joins the newly opened KPE to the Ayer Rajah Expressway. It links the new Marina South financial centre to the rest of Singapore. -- ST

QX179R SG

LTA awards $635m contract for MCE

The Land Transport Authority has awarded a $635 million contract, the fifth major contract for the Marina Coastal Expressway, MCE.

It’s for the construction of the Marina East section of the MCE.

Construction works for the MCE are expected to start in the first quarter of next year.

The MCE will be the tenth expressway in Singapore, and is expected to be completed by 2012. --938Live