Abu Dhabi: The UAE's Union Railway has announced the appointment of UBS Investment Bank to provide advice in developing a strategic financing plan for the construction and operation of Union Railway.
"Union Railway had received proposals from a wide range of leading financial institutions, reflecting intense global interest in the Union Railway project. A principal reason for UBS being chosen is because of its strong experience and track record in advising on rail projects around the world and because of its long history in providing advisory services in the UAE, stretching back over 30 years," the Abu Dhabi-based Union Railway said on its website.
"We are delighted to have received so many high quality proposals and look forward to working closely with UBS Investment Bank over the next few months," said Richard Bowker, chief executive officer of Union Railway.
"The Union Railway project represents one of the most exciting and innovative infrastructure projects being developed in the UAE. It reflects the UAE's vision and commitment to creating a world class logistics and transportation infrastructure," he added.
UBS Investment Bank now plans to join with the Union Railway management team to develop options for financing the construction and ongoing operation costs of the railway. The options will later be presented to Union Railway's board.
Separately, as part of a competitive tendering process, the Abu Dhabi Freight and Passenger Railway Committee, has invited suitable rolling stock manufacturers with commensurate experience, to express their interest in applying for rolling stock procurement contracts for the first phase of the Union Railway network (Shah Habshan Railway) in the western region of the emirate of Abu Dhabi. "It's currently anticipated that the pre-qualification documents will be available for collection by 19th of September 2010, for a fee of Dh10,000, and the deadline for submission will be October 3, 2010," an Abu Dhabi Freight and Passenger Railway Committee spokesman added.
A countrywide railway network in the UAE will be rolled out over the next seven to eight years, Union Railway's Bowker had said earlier. The Union Railway will extend up to 1,500 kilometres across all seven emirates. The railway will connect the UAE to Saudi Arabia via Ghweifat city in the West and Oman via Al Ain in the East.
The UAE plans to have its first operational railway track in 2013 or 2014 and trains will transport granulated sulphur from the Shah and Habshan fields of the state-owned Abu Dhabi National Oil Company to Ruwais.
