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IRGC's body offers to finish major Iranian freeway project in 4 years

Iran Materials 2 July 2014 16:19 (UTC +04:00)

Tehran, Iran, Jul. 2

By Milad Fashtami - Trend:

Iran's Khatam-al-Anbia headquarters say it's ready to complete Tehran-Shomal (northern provinces) freeway in four years.

Khatam-ol-Anbia headquarters head, Abdollah Abdollaian, said on June 2 that if the necessary funds are available, Khatam-al-Anbia will be able to finish the project in time, Iran's TASNIM News Agency reported on Jul. 2.

"If the government decides to give the project to us, we'll carry out the project with great determination," he said.

Iranian MP Qasem Ahmadi Lasheki said on May 20 that the Roads and Urban Development Ministry is negotiating with Bonyad (Mostazafan Fourndation) to construct the remaining sections of the freeway, but if the talks fail to reach any conclusion, Chinese firm with take care of the project.

"Tehran-Shomal freeway is among the top priorities of the ministry," he said. "The president himself has put the priority on the project."

He went on to note that based on current year's budget, some 168 million euro and one trillon rials (some $33.3 million based on the exchange rate of USD at the free market) has been allocated to the project.

Deputy Roads and Urban Development Minister Ali Nourzad said on January 21 that Finnish investors are ready to invest in Iran's Tehran-Shomal (northern provinces) freeway once the US-led sanctions on the country are lifted.

"The Roads and Urban Development Ministry plans to use the full capacity of the private sector for renewing the country's roads and infrastructures," he explained.

"Currently Iran is not able to use European investors in roads and transportation projects," Nourzad said.

Deputy Director of Iran's Construction and Development of Transportation Infrastructure Company, Hassan Ahmadi-Nouri, said on January 7 that the first section of Tehran-Shomal (northern provinces) freeway will come on stream in two years, the ISNA News Agency reported on January 7.

"The 32-kilometer section of the freeway will come on stream in 18-24 months," Ahmadi-Nouri said.

He went on to note that Bonyad (Mostazafan Fourndation) is carrying out the project.

China's SPA Company was previously in charge of construction of the first section of the freeway.

"The physical progress of the first section of the project is about one percent per month," he said, adding that the section is 42 percent complete.

Abdollaian, on December 14 denied the rumors that the headquarters will withdraw from the construction operation of Tehran-Shomal (northern provinces) freeway.

"We recently held talks with the roads and urban development ministry officials and they denied the rumors as well," he said.

"If the needed funds are provided, Khatam-al-Anbia headquarters will be able to finish the project in 36 months," Abdollahi explained.

He went on to note that constructing Tehran-Shomal highway is not more complicated than building oil and gas refineries and pipelines.

Khatam-al-Anbia headquarters has carried out many oil and gas projects in the country.

Deputy Roads and Urban Development Minister Ahmad Majidi said on December 2 that Khatam-ol-Anbia has withdrawn from the construction operation of Tehran-Shomal (northern provinces) freeway.

"The Bonyad (Mostazafan Fourndation) also will not take part in the construction operation of the second and third sections of the highway, except for Alborz tunnel in the second section," the Tasnim News Agency quoted Majidi as saying.

He went on to note that the sections two and three of the project will come on stream at the estimated cost of 80 trillion rials (some $2.66 billion based on the price of USD at the free market).

"The ministry will soon choose a contractor for the 71-kilometer long project in a fair bid," he said.

Bonyad (Mostazafan Fourndation) representative, Rahmatollah Sadeqian, said back in May that the Roads and Urban Development ministry has not fulfilled its financial commitments regarding the project.

He went on to note that ministry owes over 6.8 trillion rials (some $226.6 million) to the Bonyad, he said, noting that according to the Majlis (parliament) Research Center, the ministry owes over 63 trillion rials (approximately $2.1 billion) to all the contractors.

Bonyad has been in charge of carrying out the section 2 and 3 of the project, but in April the Roads and Urban Development ministry announced that it has chosen a new contractor for the mentioned sections.

Former Deputy Minister of Roads and Urban Development, Ahmad Sadeqi, announced on April 13 that with then President Mahmoud Ahmadinejad's order, Iran's Khatam-ol-Anbia headquarters will construct sections two and three of Tehran-Shomal freeway.

The construction plan of Tehran-Shomal freeway was started in 1997.

Khatam-al Anbia Construction Headquarters is affiliated with the Islamic Republic of Iran Guard Corps (IRGC).

Khatam-al-Anbia is a company with 25,000 employees. It controls over 812 registered companies inside and outside Iran. Some 10 percent of the company's employees are IRGC members and the rest are contractors. The company is connected to Iran 's oil and gas industry.

On April 25, 2009, a consortium controlled by Khatam-al-Anbia purchased a 51.18 percent controlling stake in Iran's naval-industrial giant South Pars. In May 2010, the Iranian government granted Khatam-al-Anbia with the rights to develop phases 13, 14, 22, 23 and 24 of South Pars.

On April 30, 2011, Iran's Oil Ministry granted two no-tender contracts to the company for the development of the Halgan and Sefid Baghoon gas fields in South Pars.

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