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Tuesday, 8 January 2019, 12:42 HKT/SGT

Source: Mitsubishi Heavy Industries, Ltd.
MHI and Sumitomo Receive Order for Rehabilitation and Maintenance of Manila MRT-3

TOKYO, Jan 8, 2019 - (JCN Newswire) - Sumitomo Corporation and Mitsubishi Heavy Industries Engineering, Ltd. have received an order from the Republic of the Philippines' Department of Transportation (DOTr) for a rehabilitation and maintenance project on the Manila Metro Rail Transit System Line 3 (MRT-3) in the Philippines capital city.

The MRT-3 project (using 73 Czech-made train cars) was originally carried out by Sumitomo Corporation in partnership with MHIENG (then known as Mitsubishi Heavy Industries, Ltd.) for the construction of a full urban transportation system, inclusive of elevated structures, stations, rails, signals, communications, transformers, wiring, railway depots and trains, running a total length of 17 kilometers and comprising a total of 13 stations.

The Export-Import Bank of Japan (now the Japan Bank for International Cooperation) granted export credit for the project, while the Czech Export Bank provided export credit for the rolling stock. The line has been utilized by Manila residents as a means of transport for well over a dozen years since it went into full operation in 2000.

Sumitomo Corporation with Mitsubishi Heavy Industries and Group company TES Philippines Inc. were contracted to provide maintenance until 2012, but since then the aging of the system and disruptions in the procurement of maintenance parts have reduced the system's operating rate.

The aim of the Project, with TESP joining as a partner, is to carry out extensive repairs to all rolling stock and equipment whose operating rates have dropped due to aging or other reasons, without interfering with ordinary operation, in order to restore the line's safety and efficiency. A new safe maintenance regime will also be developed to maintain high operating rates even after the repairs are finished. Repair work will begin in January 2019 and be concluded in July 2022 (contract period: 43 months). The contract is worth about 35.5 billion yen, which the DOTr will pay through yen-denominated loans from the Japan International Cooperation Agency.

Economic losses from traffic congestion in Manila have been estimated to be as high as 3.5 billion pesos (approximately 7.5 billion yen) per day, and repairing MRT-3 and enhancing its passenger transport capacity should help alleviate traffic congestion.

Sumitomo Corporation has been actively engaged in railway-related businesses both inside and outside Japan, and has been involved in numerous railway construction and rolling stock export projects mostly in Southeast Asia, the US and East Asia. Sumitomo Corporation will be utilizing its wealth of experience to ensure the Project contract is fulfilled steadily and smoothly.

MHIENG, utilizing strengths in the reliability of its transportation systems confirmed by its delivery and operational track record, as well as engineering capabilities and project management skills acquired through extensive experience, is further enhancing efforts to develop and support transportation systems, including the construction of new railways, as well as measures for the expansion, improved transport capacity, and renovation of existing networks.

About Mitsubishi Heavy Industries, Ltd.

Mitsubishi Heavy Industries (MHI) Group is one of the world's leading industrial firms. For more than 130 years, we have channeled big thinking into solutions that move the world forward - advancing the lives of everyone who shares our planet. We deliver innovative and integrated solutions across a wide range of industries, covering land, sea, sky and even space. MHI Group employs 80,000 people across 400 locations, operating in three business domains: "Power Systems," "Industry & Infrastructure," "Aircraft, Defense & Space." We have a consolidated revenue of around 40 billion U.S. Dollars. We aim to contribute to environmental sustainability while achieving global growth, using our leading-edge technologies. By bringing people and ideas together as one, we continue to pave the way to a future of shared success.

For more information, please visit MHI's website:
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Mitsubishi Heavy Industries, Ltd.
Corporate Communication Department
Tel: +81-3-6716-2168
Fax: +81-3-6716-5860

Jan 8, 2019 12:42 HKT/SGT
Source: Mitsubishi Heavy Industries, Ltd.

Topic: Press release summary
Sectors: Transportation/Logistics
From the Asia Corporate News Network

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