IL&FS Transportation today said a consortium led by its Singapore arm has won USD 165 million (Rs 1,100 crore) contract for a road project in Laos. “IIPL Laos Pte Ltd, Singapore, a wholly-owned subsidiary of the company, has entered into a contract for rehabilitation and development works of the National Road No 1 with a length of 165 km…in the People’s Democratic Republic of Laos,” IL&FS Transportation said in a filing to the BSE.
The project also includes construction of 33 bridges. The contract has been awarded to a consortium in which IIPL Laos Pte Ltd is the lead manager having 90 per cent stake. “The consortium period of the project is 42 months at an estimated cost equivalent to USD 165 million,” it said in the filing.
The payment for the contract is committed from the government of Laos and is payable based on milestones over a period of 7 years; 60 per cent is payable during the construction period.