Mitsubishi Heavy Industries Engineering to Form Consortium with Keolis of France and Mitsubishi Corp.

Mar 23, 2021 18:10 JST

Source: Mitsubishi Heavy Industries (MHI)

Following Receipt of Order for Concession Relating to Two Transport Systems in Dubai

- Arrangement Covers Operation and Maintenance of Dubai Metro and Operation of Dubai Tram -

- First participation by MHIENG in operation of overseas urban rail transport systems, to commence in September
- Consortium brings together MHIENG's experience in transport systems and railway carriages, Keolis's expertise in operating public transport networks and Mitsubishi Corp.'s track record for rolling stocks

TOKYO, Mar 23, 2021 - (JCN Newswire) - Mitsubishi Heavy Industries Engineering, Ltd. (MHIENG), a Group company of Mitsubishi Heavy Industries, Ltd. (MHI) based in Yokohama, has received an order for a concession relating to two transportation systems serving Dubai, the United Arab Emirates (UAE). The agreement calls for operation and maintenance of the Dubai Metro, a fully automated, driverless rail system, as well as operation of the Dubai Tram network. The concession order, placed by Dubai's Roads and Transport Authority (RTA), was received by MHIENG as part of a consortium to be newly formed with Keolis SA, which is a member of France's SNCF (French National Railway Company) Group, and Mitsubishi Corporation. The concession marks MHIENG's first participation in operating urban rail transport systems overseas. The new business arrangement will commence in September 2021, taking over operation and maintenance duties from the current service provider, following the establishment by the three consortium partners of a new business company to be named Keolis MHI Rail Management and Operation LLC. Ownership ratios in the new business will be Keolis 70%, MHIENG 25% and Mitsubishi Corporation 5%. The contract will cover a maximum of 15 years: 9 years plus a maximum 6-year option.

Dubai Metro（Photo provided by Roads and Transport Authority）

The Dubai Metro is an urban rail network inaugurated in 2009 that currently consists of 2 lines (including Route 2020) spanning a total length of 90 kilometers (km), of which the original 75 kilometers was completed by a five-member international consortium led by MHI, under a D&B (Design & Build) contract. The Dubai Metro links Dubai International Airport with the major urban areas and EXPO 2020 site, and as infrastructure indispensable to everyday life the system provides an extremely convenient and diversified means of transport. The Dubai Tram went into operation in 2014 and covers a total of 10.6km linking the rapidly developing Marina district, site of Dubai's major skyscrapers. Users enjoy riding the tram both for its convenience and comfort and also for its beautiful views of the surrounding areas.

Under the newly concluded concession agreement, MHIENG's significant experience in urban railway systems and carriages, and the robust track record of Mitsubishi Corporation for rolling stocks, will join forces with Keolis's expertise in operating public transport networks as a world leader in automated metros and trams with operations in 30 cities worldwide to collaborate with RTA in operation and maintenance. MHIENG has abundant experience coupled with outstanding operating rates, having already provided high-quality operation and maintenance services in countries including the United States, Singapore, Qatar and the Philippines. In the UAE, since 2018 the Company has provided operation and maintenance services for the Automated People Mover (APM) linking the concourses in Dubai International Airport. Through active participation in the UAE's transportation infrastructure projects, going forward MHIENG will continue to contribute to local economic development, enhance regional convenience, and provide solutions to address traffic congestion and other local issues.

Applying its accumulated and well-proven technologies and abundant track record in oversight of EPC projects, MHIENG today is undertaking development of diverse products and systemization of technologies incorporating digital and AI advancements in new areas within the transportation field. Through these endeavors the Company will continue aiming to provide customers with operation and maintenance services of high added value, and will further develop its after-sales service operations, including participation in business concessions.

Source: Mitsubishi Heavy Industries (MHI)
Sectors: Transport & Logistics