The Biggest International Project Contract, Tehran Subway Line 4, Signed
(By Zhang Shengping, Chen Wenzhuo)May 15, China
North Industries Corporation (NORINCO) signed
the formal contract of Tehran Subway Line 4 Project
with Tehran Railway Company. The total amount
of this contract is 836 million US dollars. It
was China's biggest international project contract
to date.
Mr. Zhang Guoqing, President of NORINCO, signed
the contract with the President of Tehran Railway
Company. Mr. Ma Zhigeng, General Manager of China
North Industries Group Corporation and Chairman
of NORINCO, Mr. Liu Zhentang, Chinese ambassador
to Iran, and the mayor of Tehran attended the
signing ceremony.
The Tehran Subway Line 4 Project is 21 kilometers long, the estimated construction time limit is between 4.5 and 6 years. NORINCO takes the overall contract, using the form of FIDIC (EPC) which is the current practice throughout the world. NORINCO is responsible for the entire fund raising. The underwriter of the export credit insurance of this project is China Export & Credit Insurance Corporation. Bank of Imports and Exports of China provides export credit funds.
The international competitive bidding of the Line
4 Project of Tehran Subway began in September
2002. NORINCO, on the strength of the good reputation
and experience gained from building the first
Tehran subway, Line 5, from 1996 to 1999, beat
many large international contractors, include
Siemens of Germany and DAELIM from Korea.
