Budimex will remain active in tenders in the Czech Republic and still hopes for D11 contract

by   CIJ News iDesk III
2024-04-10   09:25
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Budimex estimates that the execution of the contract for the construction of the D35 motorway section from Džbánov to Litomyšl in the Czech Republic will allow it to show a good side to large and small potential ordering parties in the country, board member Cezary Lysenko announced. The company announces further activity in tenders on the Czech market. It also hopes that the contract for the construction of the D11 motorway from the Czech city of Trutnov to the Polish border (and the connection to the S3 motorway) will eventually go to Budimex.

Monday this week, Budimex officially started the construction of the D35 motorway section from Džbánov to Litomyšl in the Czech Republic. The investment is worth CZK 3.423 billion. Construction should be completed by 2027.

"Here we are fully prepared, we have been gathering equipment and building a team for a few months. There are also challenges [...] because 70 per cent of the section overlaps with a gas pipeline that will have to be rebuilt," said Lysenko.

"Will the fact that we execute this contract successfully be a determinant that it will be a bit easier for us [in the Czech market]? Definitely yes. Our goal is to show who Budimex is, so that not only large state ordering bodies open up to us, but also smaller ordering bodies," he added.

Budimex's management declares further activity in tenders on the Czech market.

"We are pursuing our strategy all the time, that is, we start and will continue to start in tenders that are in our area of interest - that is, where we feel strongest. Where we have the potential and experience, because it is important when entering a new market to show what we feel good about," Lysenko pointed out.

"We are preparing for [more] themes. Right now there is a bit of calm when it comes to the tender market in the Czech Republic and Slovakia, but we know what the ordering parties' plans are and we are preparing for that. We are working very hard on the future tender for the D35 road under the PPP formula, which is a concession topic. Concessions require a long preparation, so we are still working on this before the tender," he explained.

The company also believes that it is "still in the game" when it comes to securing a contract for the construction of the D11 road section from Trutnov in the Czech Republic to the Polish border.

"We were hoping that the D11 project would be the first project [in the Czech Republic] that we would sign and be able to implement. The competition is defensive about letting us in on such huge subjects, which are not a big challenge for us anyway. It is a pity for this investment that the connection to Poland is being delayed," said the board member.

"The topic of D11 is still in play. The contracting authority has been asked to re-examine the bid. We feel all the time that this is our topic. We have already been selected twice by this contracting authority for implementation and we hope that this will happen," he added.

Last November, Budimex's bid, worth CZK 11 352.29 million net, was selected by Ředitelství silnic a dálnic ČR (Czech Directorate of Roads and Motorways) as the most favourable in the tender procedure entitled 'D11 1109 Trutnov - State border CZ/PL'. On 5 April this year, the selection of Budimex's bid in this procedure was annulled.

Yesterday, Budimex officially started the construction of another motorway section in the Czech Republic: D35 from Džbánov to Litomyšl. The board members stressed that the company is "embarking on its first motorway project in the Czech Republic with great enthusiasm and determination" and that "the D35 project is the first step towards establishing the company's permanent presence on the Czech market".

Source: Budimex and ISBnews

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