(Adds project cost from Proinversion, recasts first sentence
and headline to focus on companies with biggest stakes)
LIMA, March 28 A consortium led by European
firms Finmeccanica and ACS won a contract for
a $5.66 billion subway line in Lima after competitors
unexpectedly dropped out of the contest last week, Peru's state
investment agency said on Friday.
Consorcio Nuevo Metro de Lima will build and maintain the
mostly underground 35-kilometer (22-mile) line in a 35-year
private-public concession, state investment agency Proinversion
The government will put about $3.8 billion toward
construction and maintenance of the project, with additional
costs covered by the consortium, Proinversion said.
Ansaldo Breda and Ansaldo STS, both owned by
Italian state-controlled industrial group Finmeccanica, together
have a 27 percent stake in the project, said Italian
construction company Salini Impregilo which is also
part of Consorcio Nuevo Metro de Lima.
Spanish builder Iridium, owned by ACS, controls 25
percent of the group, which also includes Spain's FCC
and Peru's Cosapi, Impregilo said.
Two other consortiums, including one formed by Brazilian
construction giant Odebrecht and Peru's biggest builder Grana y
Montero , failed to submit bids last week as
expected, sparking concerns that the auction might be flawed.
Proinversion said those groups pulled out after the
government refused to raise the project's $6.62 billion cost
"I assure you the process has been serious, objective and
the result has been positive," Transportation Minister Carlos
Paredes said in a press conference after the announcement.
Paredes said the subway, which will complement an existing
system of buses and above-ground trains, is fundamental to
improving the quality of life in the sprawling capital that is
home to some 10 million people, or about a third of Peru's
The fast-growing Andean country needs to spend between $30
billion and $88 billion to close its infrastructure deficit,
according to estimates by analysts and officials.
Prime Minister Rene Cornejo has said the government will
award $13 billion in contracts for infrastructure projects this
Fernando Valdez, Consorcio Nuevo Metro de Lima's spokesman,
said construction on the train line will start in May and wrap
up in five years.
(Reporting By Lucas Iberico Lozada and Danilo Masoni, Writing
by Mitra Taj; editing by Gunna Dickson)