Gulermak-Sam JV Wins Kanpur Metro’s Underground Work

Moments ago, Gulermak – Sam India JV emerged as the lowest bidder among 6 firms to construct the first civil package of the 32.385 km Kanpur Metro Phase 1 project’s 8.621 km underground section, after Uttar Pradesh Metro Rail Corporation (UPMRC) opened financial bids.

Excluding the ramp, this package (KNPCC-05) of the 23.785 km Line-1 connecting IIT Kanpur – Naubasta has a length of 3619 meters and includes four stations at Chunniganj, Naveen Market, Bada Chauraha and Nayaganj – each 215 meters long.

UPMRC had invited tenders for this package on July 6, 2020 with an estimate of Rs 1400 crore and expects the assigned contractor to complete work in 36 months.

Technical bids were opened in September to reveal 7 bidders, and technical bid evaluation was completed last week in which 6 firms were shortlisted and Shanghai Tunnel Engineering Co. Ltd. was disqualified for not meeting the tender conditions.

UPMRC’s Estimate: Rs. 1400 crore

Financial Bid Values:

FirmBid
Gulermak – Sam India JVRs. 1042.26 crore
Tata Projects Ltd. (TPL)Rs. 1179.08 crore
Larsen & Toubro (L&T)Rs. 1224.54 crore
Afcons InfrastructureRs. 1231.05 crore
JMC – CAI JVRs. 1259.31 crore
Doğuş ConstructionRs. 1984.88 crore

Tender No: UPMRC/CE-Contract/KNPRCC-05/2020

Package: KNPCC-05

Scope: Design and Construction of Tunnel from start of elevated ramp (after Motijheel Station) to end of Nayaganj station including four underground metro stations (viz. Chunniganj, Naveen Market, Bada Chauraha and Nayaganj) and ramp including Architectureal finishes, E&M, TVS, ECS etc. on Corridor-1 of Kanpur MRTS Project at Kanpur, Uttar Pradesh, India

Route of Kanpur’s first underground section (Ramp – Nayaganj) with the exact location of stations enroute – view Kanpur Metro information & route map

Gulermak – Sam India’s bid of Rs. 1042.26 crore was well below UPMRC’s estimate of Rs. 1400 crore, so they should receive a Letter of Award (LoA) in the coming weeks.

This particular contract will be financed by the European Investment Bank (EIB) through a €650 million (approx. Rs. 5661 crore) loan approved in July 2020. When awarded, it will be Gulermak’s second underground contract in Uttar Pradesh. Back in 2016, they were awarded Lucknow Metro’s 3.44 km underground package LKCC-06 with 3 stations, which was completed in record time.

Tender notices for the line’s eastern section with 1 underground package (Nayaganj – ISBT) and 1 elevated package (ISBT – Naubasta) are still pending. A list of Kanpur Metro’s packages / contracts can be viewed viewed here.

For more updates on India’s metro systems, check out my Home Page!

– TMRG

written by

Global traveler who prefers mass rapid transit

17 Responses to "Gulermak-Sam JV Wins Kanpur Metro’s Underground Work"

  1. Vikky says:

    That’s a huge difference between estimate and L1

    Reply
  2. shivam says:

    how is it possible nearly 400cr less than estimate this seems to be a problem. No quality would be mainted for sure.

    Reply
  3. Arif says:

    Is it safe to award with such big difference between client and contractor. What if the contractor has bid a wrong tendering and later lifts his hands up due to loss.

    Reply
    • TMRG says:

      If the difference was non-existent, there’s still no guarantee that contractors could pack-up and leave midway. Lots of examples across India.

      Reply
  4. Devendra says:

    The difference of 400 crore is too much.it points out that either estimates were wrong or the quality will be compromised.

    Reply
  5. Pawan says:

    Since the MD of UPMRC has mutual interest in the Sam India company, it is no surprise that Sam India is winning contracts for the elevated section of Agra Metro and underground section of Kanpur Agra

    Reply
  6. Sam says:

    Do you know if it will be with slurry TBM?

    Reply
  7. Prasad K says:

    TMRG do you have in your records any Tender before this for underground metro going so much below than client estimate or it is the first one ?
    Unlike other tenders, UG metro tender requires huge investment in terms of equipment like TBM and highly specialized man power.

    Reply
    • TMRG says:

      This is the first one with such a large difference. I’ve never seen anything like this.

      Looking at the other bids, UPMRC clearly overestimated its value.

      Reply
  8. Vishal raste says:

    qc engineer vacancy

    Reply
  9. Deepak says:

    I would say the estimate was off because there are five bidders substantially lower than the estimate.

    Reply

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