Bakrie asks more time for C. Kalimantan coal railway tender dateline

The government will stick to its initial deadline for bidding document submission in the tender of US$2.2 billion railway project in Central Kalimantan, although one participant has asked for a delay.

National Planning Agency BAPPENAS?s program management specialist Lukas Hutagalung told Petromindo.Com that the government still give bidders until April 18, 2011 to submit bidding documents, despite a plea from a bidder for a delay.

He said that the bidder that asked for the deadline extension is Bakrie Indo Infrastructure. According to him, Bakrie asks for more time because they need to conduct more study on the project.

The announcement of the winner is expected to be announced in June-July this year, he said. ?If everything is going well, the construction of the project will be started in early next year,? he said.

Of a total of 10 firms that have submitted participating documents, four have passed the pre-qualification stage.

The four are a consortium comprising Itochu and Toll consortium, the consortium of Drydocks and MAP Resources Indonesia, Bakrie Indo Infrastructure and a consortium led by Mega Guna Ganda Semesta.

The project is part of the railway network that the province plans to build in six stages in cooperation with investors in a bid to drive the province's economic growth. The province is listed as one of the less-developed regions of the country despite that it is rich with mining and gas resources and have a lot of lands that could be converted into plantations. All the resources however remain untapped due to the lack of infrastructure.

The long-term railway project will start with the construction of a 185-km railroad between Puruk Cahu and Bangkuang, which will be followed by the construction of a 175-km railway connecting Bangkuang and Lupak Dalam seaport.

In the next four phases, the railway network will link Kudangan-Kumai (195 km), Puruk Cahu-Kuala Kurun-Kuala Pembuang (466 km), Tumbang Samba-Nanga Bulik (418 km) and Kuala Kurun-Lupak Dalam (390 km).

?We choose railroad to transport mining products as we consider it massive, stabile, cheap, fast and environmentally friendly mode of transportation,? Syahrin Daulay, the province's head of development planning agency said in November last year. (denny)