Work on three DTL2 stations delayed

Work on three DTL2 stations delayed

    By Dylan Loh
    POSTED: 24 Jun 2013 9:27 PM

Work has stopped on the King Albert Park, Sixth Avenue and Tan Kah Kee stations, after Alpine Bau GmbH, the main contractor, filed for insolvency on June 19.

SINGAPORE: It will take some three to six months for new contractors to resume work on three stations on the upcoming Downtown Line Stage 2 (DTL2).

This is according to the Land Transport Authority (LTA).

Work has stopped on the King Albert Park, Sixth Avenue and Tan Kah Kee stations, after Alpine Bau GmbH, the previous main contractor, filed for insolvency on June 19.

LTA said there are legal and contractual matters to be resolved with the insolvency administrator before the newly-appointed completion contractors can start work.

Measures have been put in place to safeguard the station sites and equipment, which was the immediate priority for authorities.

About half of the total works required for the stations and tunnels has been completed.

LTA said it will work closely with relevant parties to minimise the impact on the completion timeline, and assess if any delays are expected.

Contracts to build the stations were awarded in September 2009, when it was assessed, based on the available financial information then, that Alpine Bau had the financial resources to undertake the projects.

The contracts awarded to Alpine Bau have a total approximate value of S$670.74 million.

Authorities said the events that resulted in the firm's current financial difficulties could not have been anticipated then.

Furthermore, as recent as mid-June this year, just days before Alpine Bau filed for insolvency, the company had given authorities the assurance and underlined its commitment to completing the station and tunnelling works.

Authorities said there had also been no signs of any slowing down of works on site, with works on the three stations in full swing.

- CNA/ms

- wong chee tat :)