ST Engineering unit wins S$750 million contract for Taiwan metro line

[SINGAPORE] ST Engineering ’s urban solutions business secured in August a S$750 million turnkey rail services contract for the extension of a metro line in Taoyuan, a special municipality in northwestern Taiwan.

The mainboard-listed global technology, defence and engineering group said on Wednesday (Aug 26) that the project to extend Taoyuan’s green line will start in Q4 this year and span seven years.

This contract is part of a broader one with consortium partner Hyundai Rotem, said ST Engineering.

ST Engineering will lead the overall project management and systems integration, and provide rail-electronics solutions, including supervisory control and data acquisition; a communications system; an automatic fare-collection system; and platform screen doors.

Hyundai Rotem will provide the power-supply system and rolling stock.

ST Engineering will work with its partners to oversee the integration and delivery of key project components, including signalling, depot equipment and track works.

The group’s urban solutions president Gareth Tang noted that the win is a reflection of its customers’ confidence in its ability to deliver large-scale rail infrastructure programmes.

Taoyuan MRT’s green line extension stretches for 7.2 km and comprises five stations. Local media reports describe it as the first metro line to be independently planned for by the local government.

This contract adds to ST Engineering’s ongoing delivery of rail electronics solutions for the line, said the Singapore-headquartered group.

Back in July, ST Engineering bagged a S$840 million contract for Taoyuan’s 11.4 km brown line. The project is also expected to begin in the fourth quarter of this year, and will be delivered over eight years.

Shares of ST Engineering ended Wednesday down 1.2 per cent or S$0.13 at S$10.58, before the announcement.