Long Term maintenance road project for Southern Highlands sealed

Acting Governor General H.E. Hon. Theodore Zurenuoc, MP has signed on behalf of the State a multi million Kina project for the long term maintenance of the Ialibu to Kagua road in Southern Highlands province.

The contract is valued at K80, 891, 515. 10, including GST and will be jointly funded by the State and Asian Development Bank (ADB).

The contract is for the improvement works and long term performance based maintenance for the 31.8km road from Ialibu to Kagua in the Southern Highlands province.

The Improvement Works, including provisional sum for contingencies, cost K72, 821, 460. 00 while K8, 070, 055. 10 will be for the Long Term Performance Based Maintenance Contract for a period of five (5) years following the Improvement Works.

The ADB will contribute K50, 975, 022.00 as loan under the ADB Loans PNG Highlands Regional Road Improvement Investment Program (HRRIIP) while the national Government’s component is K21, 846, 438. 00. The Long Term Performance Based Maintenance will be financed by the National Road Authority at K8, 070, 055.10.

The contract was awarded to Covec (China) Limited. Company representatives M. Liu Changyou and Mr. Ding Shi signed the contract witnessed by Secretary of Department of Works Mr. David Wereh at Government House this afternoon.