"BEM-CK" is ready! Construction of the western section of the "Orange Line" begins; train manufacturer to be selected in 2 months | Daily News
Source - Daily News website
Tuesday, July 23, 2024 16:09
Train manufacturer for the "Orange Line" to be decided in 2 months: Germany vs. Japan for 32 trains
"BEM-Ch. Karnchang" prepares team and equipment, ready to start western section construction on July 31 - August 1
Confident eastern section will open by the end of 2027
On July 23, at the InterContinental Hotel Bangkok (Ratchaprasong), Bangkok Expressway and Metro Public Company Limited (BEM) and CH. Karnchang Public Company Limited (CK) signed a contract for civil works construction and procurement of the rail system for the Orange Line project, Bang Khun Non - Min Buri section. Mr. Sombat Kitjalaksana, Managing Director of BEM, and Mr. Nattavut Trivisvavet, CEO of CK, signed the agreement. Mr. Plew Trivisvavet, Executive Chairman of CK and Chairman of BEM, and Mr. Phongsarit Tantisuvanichkul, Executive Chairman of BEM and Vice Executive Chairman of CK, were witnesses.
Mr. Phongsarit said that BEM and CK are ready to begin construction of the western section from Thailand Cultural Centre to Min Buri, covering 13.4 kilometers, and procure the rail system including train sets. They are prepared to enter the construction site as soon as the Mass Rapid Transit Authority of Thailand (MRTA) issues the Notice to Proceed (NTP), expected around July 31 - August 1, 2024. CK has prepared its team and equipment to start work immediately, leveraging over 20 years of experience and expertise for this project. He acknowledged that it's very challenging as it involves 11 underground stations.
For the Orange Line train sets, they will procure a total of 32 trains (3 cars each), costing about 30 billion baht. They will gradually bring in 16 trains first for the eastern section from Thailand Cultural Centre to Min Buri (Suwinthawong). The remaining 16 trains will be used for the western section. They are confident that the eastern section will open by the end of 2027 and the western section by mid-2030.
Mr. Sombat said that they are currently selecting the train manufacturer, narrowed down to two companies that are already providing services. The Purple Line uses Japanese trains, while the Blue Line uses German trains. They expect to reach a conclusion within two months. The main criteria will be good quality and low price.
BEM ควง CK ประกาศชัด เดินหน้าโครงการรถไฟฟ้าสายสีส้มทันที พร้อมทั้งด้านเงินทุนและการก่อสร้าง เตรียมลงพื้นที่ครั้งแรกสิงหาคมนี้ มั่นใจประชาชนได้ใช้บริการก่อนกำหนด
BEM มีพันธมิตรที่แข็งแกร่งอย่าง CK ที่มีประสบการณ์ ความรู้ ความชำนาญในงานก่อสร้างโครงสร้างพื้นฐานขนาดใหญ่ที่มีความซับซ้อน โดย CK ได้จัดเตรียมทีมงานและเครื่องจักรอุปกรณ์พร้อมเข้าดำเนินงานได้ทันที
BEM ยืนยันว่า บริษัทให้ความสำคัญกับคุณภาพและความปลอดภัยเป็นลำดับแรก เห็นได้จากในโครงการที่ผ่านมาบริษัทเลือกใช้ผู้ผลิตจากประเทศเยอรมันและญี่ปุ่นเป็นหลัก
BEM Invests in Orange Line Mega Project, Bang Khunnon Section, 140 Billion Baht
Source: Prachachat Thurakij
Saturday, July 27, 2024, 06:25 AM
Bangkok Expressway and Metro Public Company Limited (BEM), part of the CH. Karnchang group, has announced plans to proceed with the construction of the Western section of the Orange Line metro project, from Bang Khunnon to the Thailand Cultural Centre. This construction phase, valued at 140 billion baht, will begin in August, with a projected completion date in 2028. The project is part of a 30-year concession agreement and aims to connect the Blue, Purple, and Orange Lines, enhancing revenue streams in a new business S-Curve for sustainable income.
Mr. Pongsrit Tantithuwanitchakul, CEO of BEM, stated that on July 24, 2024, BEM and CH. Karnchang Public Company Limited (CK) signed an agreement for CK to handle the civil construction and installation of the metro system for the Western section of the Orange Line from Bang Khunnon to the Thailand Cultural Centre.
**Investment of 140 Billion Baht**
The Orange Line project is divided into two sections: the Eastern section from the Thailand Cultural Centre to Min Buri, which is expected to be completed in 3 years and 6 months, and the Western section from Bang Khunnon to the Thailand Cultural Centre, with a completion timeline of 6 years. The concession period will last 30 years from the opening of the Eastern section.
BEM has secured a loan of 120 billion baht from Bangkok Bank, with 90 billion baht allocated for the Western section's construction and 30 billion baht for the metro system. The company expects 120,000 passengers per day in the first year of operation on the Eastern section, eventually increasing to 300,000 passengers per day once the entire line is operational. Ticket prices will range from 17 to 44 baht.
**Additional 53 Train Sets**
The project's high cost is attributed to the complexity of construction through historic areas, dense communities, and heavily trafficked roads, including a section under the Chao Phraya River. CK's experience with the Blue Line gives confidence in the project's smooth execution. Currently, negotiations are underway with manufacturers to procure 53 new train sets, including 32 for the Orange Line and 21 additional sets for the Blue Line. The company prioritizes quality and safety, with previous projects sourcing trains from Germany and Japan.
Dr. Sombat Kitjalaksana, Managing Director of BEM, emphasized that city ring railways worldwide have proven successful, and the Orange Line will connect with suburban trains and the Yellow, Pink, and Purple Lines, feeding passengers into the Orange Line and, by extension, the Blue Line. This integration will drive cost efficiencies and significant business growth.
**New S-Curve Growth**
The Orange Line concession is seen as a new S-Curve for BEM, enhancing its business continuity and supporting existing projects like the Blue Line. About 80% of passengers from the Orange Line's Eastern section are expected to transfer to the Blue Line, optimizing economies of scale and ensuring substantial company growth.
The project also presents opportunities for commercial revenue, including advertising, retail spaces, and metro malls. The development is expected to spur economic growth along the metro line, including investments in commercial, tourism, and residential developments over the concession's 30-year duration.
**Backlog Increases to 300 Billion Baht**
Mr. Nattawut Trevikitviset, CEO of CH. Karnchang, added that the signing of the MOU with BEM for the Orange Line increases the company's construction backlog to 300 billion baht, with 35 billion baht expected in revenue for 2024. The construction site will open in August.
For the second half of 2024, the company is interested in several public investment projects and is focused on managing construction site costs, including materials and labor, despite rising costs.
Source: Prachachat Business, Issue dated July 29-31, 2024
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