Aus & NZ: CIMIC says bidding on Cross River Rail, Snowy 2.0

07 February 2018 - 12:00 am UTC

CIMIC has confirmed it is bidding on the tunnels and stations PPP for Brisbane’s AUD 5.4bn (USD 4.2bn) Cross River Rail PPP.

The contractor will also bid on aspects of the construction work for Snowy Hydro 2.0 it said in its 2017 financial year annual results released on Wednesday (7 February).

As reported, CIMIC is understood to be in a consortium with its subsidiaries Pacific Partnerships and CPB Contractors as well as Salini Impregilo, which it is understood has been shortlisted by the Cross River Rail Authority.

A spokesperson for CIMIC could not immediately confirm CIMIC’s involvement in Cross River Rail nor clarify what stage it is at in bidding for Snowy Hydro work.

A feasibility study into Snowy Hydro 2.0 gave it the go ahead late last year. Snowy Hydro won’t make a final investment decision on the scheme to increase capacity to 6GW from 4GW until the end of 2018.

CIMIC also said it is bidding on or has been shortlisted for the North-South Corridor in Singapore and the Kai Tak Sports Park in Hong Kong.

The company said it has a “robust pipeline” of possible contracts ahead. This includes AUD 110bn of tenders relevant to CIMIC to bid on or possibly be awarded in 2018 and another AUD 285bn from 2019 onwards. Of these, about AUD 65bn worth are classified as PPPs.

Present work in hand for the year to end 2017 is valued at AUD 36bn. This is AUD 2bn higher than the year earlier. New work awarded in 2017 amounted to AUD 18.4bn, up 36.7% on 2016.

In September, CIMIC refinanced an AUD 1bn syndicated bank facility used for working capital and more than doubled it to AUD 2.6bn.

Net profit after tax for 2017 rose 21% to AUD 702.1m on revenue of AUD 13.4bn, up 23.4% for the year.

CIMIC said profit for the 2018 financial year is expected to be up between 3% and 11% to between AUD 720m to AUD 780m.

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