Scomi Consortium wins RM 2.6 billion monorail project for Sao Paulo, Brazil

Scomi Engineering Bhd (“Scomi”), a public listed subsidiary of Scomi Group Bhd, is part of the Consortium Monotrilho Integracao (“the Consortium”) that has successfully been awarded, the Line 17 monorail project in São Paulo, Brazil on 2 June 2011.

The monorail project awarded to the Consortium which consist of Scomi, Andrade Gutierrez S.A. (“AG Group”), CR Almeida S.A. Engenharia de Obras and Montagens e Projetos Especiais SA (“MPE”) will cover the design works, manufacture, supply and implementation of the monorail system for the 18-km monorail Line 17 – Gold Metro of São Paulo. The monorail Line 17 which will be served with 18 stations commencing from Jabaquara to São Paulo – Morumbi, will involve the supply of 24-car train sets consisting of 3 cars in each set and is expected to carry some 252,000 passengers per day. The award is valued at BRZ Real 1.4 billion or approximately RM2.6 billion and is expected to be completed in 42 months.

The international tender and qualification process was carried out by the São Paulo Metro Company. Qualified bidders were selected after a thorough evaluation of the qualification documents and the completion of a detailed due diligence process. Work on the said project is expected to commence in July 2011.

Under the Consortium, Scomi’s scope of works will involve the supply of rolling, the vehicle management system (VMS), design for Switches, System Integration, System Assurance and Testing and Commissioning.

Shah Hakim Zain, Group Chief Executive Officer of Scomi Group Bhd said, “Given the scale and scope of this major infrastructure project, having successfully awarded the Line 17 Monorail project is indeed an important milestone for Scomi. This is a reflection of the confidence in the Group’s capabilities as well as its track record in managing sizeable and multi-faceted urban transportation endeavors on an international scale.”

“The achievement also underlines the strength and depth of our consortium partners. The AG Group and CR Almeida are both well-established and highly-proven construction brands not only in Brazil but in South America. Their credentials in the region and technical skills-set will be invaluable in the success of this undertaking,” he added.

“The Brazilian market holds enormous potential for the Group. We are committed to leverage on our expertise as a turnkey specialist of rail systems and to ensure that we take full advantage of the opportunities in urban transportation projects in Brazil and other parts of the world,” Shah Hakim Zain concluded.