National Infrastructure Agency ANI in Colombia has presented the canceled PPP project to improve the navigability of the Magdalena river between Barrancabermeja and Bocas de Ceniza through the implementation of channeling works, dredging activities, monitoring and signaling of the navigable channel.

On Monday, November 18, ANI and the Regional Autonomous Corporation of the Rio Grande de la Magdalena (Cormagdalena) held the first presentation hearing of the PPP project, in which 45 interested parties were shown the public details of the project and legal and financial requirements of the prequalification process for the project.

Magdalena River Waterway PPP project has been declared a national priority project. It seeks to ensure navigability through this water corridor 24 hours a day, 365 days a year. The project has been originally awarded in 2014 but has since been canceled in 2017.

One of the reasons for canceling was the economic factor. Two years ago it was estimated that the works could cost approximately COP 3000 billion (USD 867 million) and the Nation did not have the resources to carry it out. However, the current calculation estimates the project at COP 1380 billion (USD 399 million), given that the scope of the interventions is smaller with the current proposal.

According to the authorities, it is most likely that the project will finally be awarded in the second half of 2020 and the pre-construction phase will begin in July, which would take 18 months. Following this, another 18 months would be necessary for the interventions and by the end of 2023, the project would be completely ready.

The invitation to participate in the tender was published in Secop I on October 31 and contains the form in which the interested parties must present their expression of interest and accredit the qualifying requirements, the criteria that will be taken into account to form the prequalified list. The deadline to submit interest is on January 24, 2020.

According to Diana Cardona, vice president of the structuring of the ANI, “it is expected that within this process, on January 24 of next year, interested companies will present their expressions of interest. Once the documents are submitted, the ANI will evaluate compliance with these requirements and on February 28 will publish the list of prequalified companies”.

It should be noted that an increase in cargo movement of 130% is expected when the works are completed.