Transport for NSW CIMIC Momentum Trains Pacific Partnerships UGL CPB Contractors

Transport for NSW has selected a consortium of contractors to design, build, finance and maintain its $1.26 billion new regional rail fleet project.

The Momentum Trains consortium was chosen as the successful contractors. The consortium includes CIMIC Group companies Pacific Partnerships, UGL and CPB Contractors.

Momentum Trains will deliver a new regional rail fleet and a new maintenance facility in Dubbo, New South Wales.

The project includes capital costs of $1.26 billion for the new fleet, the new maintenance facility in Dubbo, network enabling works and other project delivery costs. The contract also includes maintenance services for the first 15 years.

CIMIC Group has led the consortium’s development of the project, with Pacific Partnerships providing leadership and equity financing for the contract term.

CPB Contractors will design, construct and commission the maintenance facility at Dubbo, whilst UGL will maintain both the fleet of 117 rail cars and the maintenance facility.

The consortium also includes Construcciones y Auxiliar de Ferrocarriles (CAF), who will manufacture the rail cars, as well as CAF Investment Projects and independent fund manager DIF, both of whom are also providing equity financing alongside Pacific Partnerships.

CIMIC Group estimates the project will generate revenue of up to $725 million over the construction and initial 15-year maintenance term.

The project is expected to commence in early 2019, with the first trains to enter service progressively from 2023.

Momentum Trains will replace the existing XPT, XPLORER and Endeavour trains, some of which are close to 36 years old and nearing the end of their lifespan.

NSW Minister for Transport and Infrastructure, Andrew Constance, said the new regional fleet will comprise 117 new carriages to form ten regional intercity trains, nine short regional trains and ten long regional trains.

“The trains will be powered by engines which produce fewer emissions than the current fleet, reducing the impacts on air quality,” he said.

The Dubbo maintenance facility will be where the final fit out and commissioning of the trains will take place.

CIMIC Group Chief Executive Officer, Michael Wright, said, “CIMIC Group is Australia’s premier rail services provider. Our end-to-end capability enables us to finance and maintain the rail fleet, and deliver a state-of-the-art maintenance facility, combining the collective rail expertise of Pacific Partnerships, UGL and CPB Contractors.

“It’s our privilege to work with Transport for NSW to deliver high-quality rail assets for rural and regional NSW, as well as creating local jobs and leaving a skills legacy of long-term value for people in regional communities.”

Pacific Partnerships Managing Director, Martin D’Uva, said, “Our integrated approach positions us to deliver a seamless, whole-of-life solution that achieves optimum outcomes. We’re focused on providing certainty of delivery and operational performance and ensuring customers benefit from a safe, efficient rail service.”

UGL Managing Director, Jason Spears, said, “This contract strengthens our position as the leading provider of rail asset management in Australia. We’re committed to working with local organisations to generate employment and business opportunities that will deliver great community outcomes for the region.”

CPB Contractors Managing Director, Juan Santamaria, said, “CPB Contractors has a strong track record of delivering high-quality rail construction across Australia. Our team will bring this experience and skills to safely deliver this important project for regional NSW.”

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