MRT Corp begins tender process for Penang LRT contractor

• In a tender notice on Monday, MRT Corp said it is seeking to appoint turnkey contractors for the engineering, procurement, construction, commissioning (EPCC), and maintenance of the Penang LRT project.

KUALA LUMPUR (Dec 2): Mass Rapid Transit Corp Sdn Bhd (MRT Corp) is inviting local and foreign companies to participate in the tender for the Penang Light Rail Transit (LRT) Mutiara Line project, which the federal government has allocated RM10 billion for.

In a tender notice on Monday, MRT Corp said it is seeking to appoint turnkey contractors for the engineering, procurement, construction, commissioning (EPCC), and maintenance of the Penang LRT project.

MRT Corp said that local and foreign contractors are allowed to form joint ventures (JVs) and consortiums, with foreign participation capped at a 49% stake in the JV or consortium, and up to three companies per JV. The tenderer is only allowed to submit one tender.

“Participation of an original equipment manufacturer as a JV/consortium partner is considered an added advantage,” it said.

All tenders must register for a tender briefing on Dec 12 at Gurney Bay Hotel in George Town, Penang. The tender submission deadline is by 12pm on April 4 next year.

To be eligible to tender, the JV or consortium must meet several technical requirements. Among others, at least one JV partner must have successfully delivered a railway project as a system contractor or subcontractor within the past 10 years.

The tenderer must also have experience in managing and implementing multiple subsystems, including coordinating interfaces and ensuring seamless integration into a fully functional railway system.

“The tenderer must have been awarded railway system projects with a total of RM500 million cumulative contract value for the past 10 years,” MRT Corp added.

For the financial requirements, the tenderer must have a minimum shareholder fund of RM100 million based on the latest financial year, positive cumulative earnings before interest, taxes, depreciation, and amortisation (Ebitda) over the past five years, and a minimum of RM100 million in unutilised credit facilities from financial institutions.

Overall, the 29km Penang LRT is expected to be a medium-capacity train with up to 20 stations, running from the Silicon Island in the southeast of Penang Island to Komtar in George Town, and from George Town to Penang Sentral in Butterworth.

In March, the government offered SRS Consortium Sdn Bhd, in which Gamuda Bhd (KL:GAMUDA) holds a 60% stake, to develop Segment 1 — between Silicon Island and Komtar — of the Penang LRT.

SRS Consortium was initially appointed as a project delivery partner by the Penang government for the Penang Transport Master Plan (PTMP) in August 2015.

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