Korean Posco to reconstruct highway worth $ 175 mln in Uzbekistan

Business Materials 26 February 2014 17:40

Tashkent, Uzbekistan, Feb. 26
By Demir Azizov - Trend:

Korean Posco Engineering and Construction (Posco E & C) signed a contract with the Uzbek government for the reconstruction of the Guzar - Bukhara - Nukus - Beyneu ( A-380 ) road section worth $175.2 million, a representative of the Republican Road Fund told Trend on Feb. 25.

"Posco E & C won the tender for the reconstruction of an 85 kilometer road section," the representative added.

The winner has up until 2016 to replace the two-lane asphalt pavement with four-lane cement.

The project will be financed through the ADB multi-tranche financing program totaling $ 1.1 billion.

This is the second project for the highway reconstruction in Uzbekistan for the Korean company.

It was previously reported that Posco E & C and China Road and Bridge Corporation (CRBC) completed the reconstruction of two sections of the A-380 highway with a total value of $173.5 million in 2013.

Operations were conducted to replace the two-lane asphalt pavement with four-lane cement concrete at a 90 kilometer section in the autonomous-republic of Karakalpakstan and a 41 kilometer section in the Khorezm region of northwestern Uzbekistan as part of the project.

The 1,200 kilometer A-380 highway is part of the transit corridor linking Uzbekistan with Afghanistan and Turkmenistan in the south, and Kazakhstan in the north.

Currently, two more sections of the Guzar- Bukhara-Nukus - Beynau highway with a length of 85 and 40 kilometers worth $240 million and $100 million are being reconstructed.

Some 530 kilometers of roads with a total value of $565 million were constructed and reconstructed in Uzbekistan in 2013.

Uzbekistan plans to invest $3.29 billion in the development of the road transport system in 2011-2015, including $ 1.79 billion - at the expense of the Republican Road Fund, to attract loans from international financial institutions totaling $ 1.432 billion and loans from the Uzbek Reconstruction and Development Fund worth $68 million.

Uzbekistan intends to construct and reconstruct the roads included in the national highway of the first category with a total length of 2,300 kilometers worth about $ 2.6 billion before 2015.

The total length of Uzbek roads is 146,400 kilometers. Some 42,500 kilometers fall to the public highways, including 3,200 kilometers - the international highway and 18,800 kilometers - national roads. Some 20 international transport routes and directions pass through the territory of Uzbekistan.

Translated by NH
Edited by CN