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Questions

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1. Project name: The Mersey Gateway Project Grp 1
2. Client/Promoter: The promoter for the project was Halton
Grp 2
Borough Council
3. Developer: A construction joint venture was assembled
for developing the project. The joint was
known as the Merseylink CCJV. Merseyling
CCJV comprised of Kier Infrastructure, FCC
Construcción and Overseas Limited (UK)
and Samsung C&T Corporation. In addition
to the Project Agreement with Merseylink,
the Council entered into a Demand
Management Participation Agreement
(DMPA) with emovis, who are responsible
for the delivery of the end to end tolling
collection and enforcement of unpaid tolls. Grp 2
CH2M HILL is responsible for providing
technical and contractual advisory services
to the project. Also, Lanes Group secured a
contract to provide drainage survey and
maintenance services to the project. The
contract includes the delivery of CCTV
drainage surveys, drainage cleaning services
and new drainage infrastructure. Final, CLD
Fencing is responsible for providing
approximately 5km of 2.1m-high eclipse
mesh fencing to the project.
4. Sponsors/Equity investors: The sponsors of the project were Macquarie
a. Who were/are they Capital, FCC Construccion S.A. and BBGI.
b. how much each contributed
c. how/when - Macquarie Capital is a company
d. has any investor changed which provides capital market and
corporate advise. Its services
include mergers and acquisitions,
takeovers, corporate restructuring
and debt advice, equity capital
markets, corporate broking, private
equity placements and principal
products.
- FCC Construccion is an Grp 8
engineering and construction
company operating in Europe, Asia
and America. The company
undertakes works in highways,
motoways, and road as well as
domestiv works.
- BBGI is An investment organisation
which invest in various PPP assets
around the world including
countries like Canada, Australia,
USA and the UK.
5. Project size: The Mersey gateway project may
be defined as a Capex + Opex
Grp 2
project. A Capex project refers to
any project where expenditures are

The project was completed in the Autumn of 2017 as the first step to kickstarting a 20-year regeneration programme in Halton. Typically. tenor of primary loan term of loan and inc’ length of tail? Grp 18 d. Spanning the river Mersey and the Manchester ship canal the bridge itself is constructed of concrete and steel and approximately 2200 metres long and has a clearance of 25 metres. 6. The Mersey gateway project was a bridge and road project which was constructed in order to relieve pressure on the Silver Jubilee bridge.86 billion. Duration of project. any lenders’ covenants? Especially ADSCRs/LLCRs .86 billion cost will include design. with start/ finish dates =6 length 7. maintenance and building cost. operation. giving a. The total cost of the project through to the year 2044 is estimated to be £1. mezzanine if used mezz strip? if any c. made in the present to purchase or improve an asset with an objective of creating future financial benefits. operation/concession inclusive. debt/equity ratio check senior debt ∑ + equity e. & state source if bond state if credit-enhanced or not b. The major capital investment in the Mersey Gateway Project is the construction of the bridge from which income may arise in the form of toll charges. plus And note whether this is sequential or 2x3 Grp b. Type of [debt] funding a. The £1. The construction and initial costs amounted to £600 million. The project may also be referred to as an Opex project since it has ongoing operating expenses which are tax deductible. a Capex projects is a project which involves the purchase of or an investment in a fixed asset such as a vehicle or construction building that provides a source of income for the future. bank or bond etc. construction period.

. finance and operation (DBFO) of the Mersey Gateway Bridge project over a 30-year period. The agreements include making the road available to users and ensuring the average speed of the users does not drop below an agreed minimum. Starting at £43m the unitary cost increases yearly by approximate £1m.5 years after opening . a Council loan and a bond investment supported by the HM Treasury’s UK Guarantees Scheme and an equity investment. . . To be able to meet these costs.55m for 26. The unitary charges paid by the Halton council each year start from the 2017-2018 period and ends in 2043-2044 period. Over the first 15 years the forecast for toll revenue is around £43 million. build. The contract for this PFI arrangement was awarded to the Mersey link Consortium in March 2014 for the design. Toll revenue from the users of the Mersey Gateway and Silver Jubilee Bridge is used to as the main source for funding the investment costs particularly Grp 5 interest cost. a financial arrangement was put in place by Merseylink which consists of bank loans. The UK government also contributed £85 million for the purchase of land. In addition. This charge is based on the consortium meeting a set of agreements made with the council.8. Method(s) of payment . the Halton council pays the Merseylink Consortium an annual fee known as a unitary charge until the year 2044. The Department for Transport provides an annual revenue support payments of £14.

Design 3. Names of the Contractor(s) for a. Planning i. maintenance. 9. and Risk mitigation Prepare a risk-list (matrix) of the key risks as YOU perceive them and how they Indiv were/are mitigated. & the Design teams. construction. including advisers. contractor. supply chain etc. Indiv a) why you think your team selected this project.e. Commissioning 5. construction. with your view on project risks. with “dotted line” Indiv 10 connectors e. Indiv c) why YOU feel your group’s project encompassed some or all of the many (or few?) issues arising from PPP/PFI schemes. major supply chain names and Grp =6 c.g stakeholders. Adviser teams Total grp mark 50 10. facil’management roles. and demand. and your 30 commentary on project success (or not). give construction contractor. Construction 4. with a description.max 3 sides A4 . Lastly and most importantly. operations. Risk identification 1.fully annotated showing the contractual relationships. consultants. 2. Risks. Draw an Organogram . ii. Presentation by PM Presentation 20 Total > 120 Q10. FM 3x2 b. i. Demand . individually write up in c. contractors. As a minimum for this you will need to identify anything 10 peculiar to the sector to be able to identify risks associated with planning. design. Operation 6. and Indiv b) what you felt were key features. 1200 words . and identify/add the key contract control documents 12. 11. commissioning and operation.