[ET Net News Agency, 26 November 2019] China Railway Construction Corporation Limited
(01186) said a consortium comprising China Railway 15th Bureau Group Co., Ltd. and other
subsidiaries of the company won the bid for the PPP Project for Reconstruction of
Tongxiang Fengming to Dama Section of 320 National Road. The operation method of the
project is under the construction, operation and transfer model with a total investment
amount of approximately RMB3.71173 billion. The payback mechanism of the project consists
of user charges and feasibility gap subsidies. The cooperation period of the project will
be 15 years, of which the construction period will be 3 years and the operation period
will be 12 years.
The project capital represents 20% of the total investment of the project. The investor
representative of the government, Tongxiang City Transportation Construction Investment
Group Co., Ltd. contributes 15% of the total, while the social capital party contributes
85% of the total. The remaining funds other than project capital shall be raised by the
project company through bank loans. (RC)