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Wynn's Macau Resort highlights P4 Flextronics factory completed P12 Eagle's Nest Tunnel commissioned P8 Leighton Group results P13 Korean expansion THE LEIGHTON ASIA MAGAZINE | NOVEMBER 06 IN Spectacular opening for new luxury casino

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Page 1: IN - CIMIC Group · P8 Leighton Group results P13 Korean expansion THE LEIGHTON ASIA MAGAZINE | NOVEMBER 06 IN Spectacular opening for new luxury casino. 2 Contents ... metre factory

Leighton Asia (Southern) Wynn's Macau Resort

highlightsP4 Flextronics factory completed P12 Eagle's Nest Tunnel commissioned P8 Leighton Group results P13 Korean expansion

THE LEIGHTON ASIA MAGAZINE | NOVEMBER 06

IN

Spectacular opening for new luxury casino

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Contents

is a quarterly newsletter produced by Leighton Asia. It provides information on developments, projects and issues relating to Leighton Asia (Northern), Leighton Asia (Southern), Leighton Holdings and associated companies operating across Asia and into the Arabian Gulf region.

Issues cover the periods August-October, November-January, February-April and May-July.

If you would like to receive regularly, please email us on: [email protected]

Published by: Leighton Asia, 39/F Sun Hung Kai Centre, 30 Harbour Road, Hong Kong.

t: +852 2823 1111 f: +852 2528 6119 e: [email protected] www.leightonasia.com

THE LEIGHTON ASIA MAGAZINE | NOVEMBER 06

IN

About Leighton AsiaLeighton Asia operates through two separate entities: Leighton Asia (Southern) covering operations in Malaysia, Brunei, Singapore, Sri Lanka, Indonesia, India and the Arabian Gulf; and Leighton Asia (Northern) covering operations in Hong Kong, China, Macau, Taiwan, Philippines, Thailand, Vietnam, Laos and Cambodia.

The two companies have a combined annual revenue of more than US$750 million and employ more than 4000 staff across Asia. Leighton Asia (Northern) and Leighton Asia (Southern) are part of the Leighton Group, Australia's largest project development and

contracting group, with annual revenues of over US$7.5 billion.

Leighton builds offshore construction vesselsSpecialised equipment constructed for offshore work.

Flextronics factory completed in ‘record time’Plant completed in only six months.

Leighton officially launches operations in the GulfGulf Leighton makes commitment to region.

Spectacular opening for Wynn’s Macau resortGreat fanfare for casino opening.

Leighton Group’s work in hand reaches A$18 billionIndia emerges as important market.

John McBreen Leighton Mining ScholarshipScholarships established for mining students.

Mission completed at Tangguh LNG plantLeighton's role in US$2 billion project draws to a close.

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Beating safety challenges at TangguhFour-million manhours without any Lost Time Injuries (LTIs).

Hong Kong road tunnel commissionedHK$2 billion project completed on schedule.

New Australian chancery underway in LaosContract secured for new Australian Embassy in Vientiane.

Leighton Asia expands into KoreaLarge scale infrastructure opportunities seen.

TBM Launched for Hong Kong tunnels Custom-built TBM launched for HK$2 billion project.

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T he first project – the Kochi Refineries pipeline project at Cochin – requires a shallow

draft pipelay vessel.

Currently nearing completion, this vessel (named the Leighton Stealth) will be able to lay pipe ranging from 8” to 60” outside diameter and hold up to 100MT of tension in a conventional ‘S’ lay type operation and includes remote controlled, fully integrated electro-hydraulic eight-point mooring.

Leighton Stealth's sophisticated pipe-handling system and fully automatic welding capabilities will optimise its laying speed, especially when working with large diameter pipelines or heavy walled pipes.

Leighton Stealth is being constructed in Batam, Indonesia and will sail for Cochin in late December. Designed for optimal performance in near shore locations and water depths

up to 100m, it will have two 275MT crawler cranes onboard.

In early 2007 this highly versatile low-operating-cost vessel will lay 19 kilometres of 48” pipeline for carrying imported crude oil into the Kochi Refinery at Cochin, Southern India. Its next job will be to install a 32” pipeline in Singapore waters.

Leighton Stealth will be further enhanced in 2007 by the addition of accommodation for 200 personnel. This will ensure the vessel is not only state of the art but a fully self-supporting, shallow-water craft which is able to work in any of Leighton’s operating regions.

Leighton has also constructed a 450 MT crane barge, Leighton Mynx, which is now bound for Jamnagar to support the company’s Reliance JERP Project marine facilities construction contract.

Leighton Mynx has an 8-point mooring system and is also optimized for use in shallow waters with particular emphasis on offshore piling operations, SPM and jetty installations, and offshore platforms and structures.

The two vessels are fully owned by Leighton and allow the company to pursue offshore projects in the oil and gas sector, as well as marine projects in other sectors.

Over the last 20 years, few new construction vessels have been built for the offshore oil and gas industry. With current global economic growth and a booming oil and gas sector, there is tremendous demand in the market for equipment like Leighton Stealth and Leighton Mynx. n

With two major offshore oil and gas projects in India, Leighton has decided to construct the specialised equipment it needs to undertake the contracts.

Leighton builds offshore construction vessels

Above: The Leighton Mynx will soon arrive in India.

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Flextronics, one of the world's largest electronic goods manufacturers, commissioned

Leighton to build the 50,000 square metre factory at Sriperumbudur, near Chennai. It is the first phase of a major facility which Flextronics plans to grow into a large-scale industrial park.

The plant, which manufactures teletechnic and computer hardware, was formally opened in November by the Prime Minister of India, Dr Manmohan Singh, Congress President Smt. Sonia Gandhi and Chief Minister of Tamil Nadu, Dr Kalaignar M. Karunanidhi.

The centre at Chennai expands Flextronics' existing operations in

India, supplementing its facilities in Bangalore and Pondicherry. It also has industrial parks in Brazil, China, Hungary, Mexico and Poland.

In the six years since the company first established in India, it has grown into a pre-eminent electronics manufacturer in the country, with more than 1000 employees.

The facility constructed by Leighton provides Flextronics with new opportunities for development and business expansion in India.

Leighton’s project manager, Tom Dockray, said the construction of the facility has made a positive contribution to the local economy of Sriperumbudur, and has been well supported by the local people through

using local labour, upskilling of all workers and sourcing from local suppliers.

“The successful opening of the fully operational facility in record time to world class standards will stand as the most significant milestone for the project”, Tom said.

“The cooperative spirit, continued commitment and enthusiasm by all team members has been vital to the project’s success and has been well acknowledged and praised from senior levels in the company.

“The Leighton Flextronics team is extremely proud of the work it has accomplished on the project and looks forward to further challenges and success in the future”, he said. n

Despite a tight construction schedule, a new manufacturing plant in India for the Flextronics electronics group has been constructed in only six months.

Flextronics factory completed in ‘record time’

Left: Congress President Smt. Sonia Gandhi and Prime Minister Dr Manmohan Singh took part in the official opening.

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Gulf Leighton officially launched its operations in the Gulf Region with a launch party in Dubai in November.

The event, held at Dubai’s Montgomerie Golf Club, was well attended. Guests included

Leighton’s staff, clients, partners, sub-contractors, suppliers and other business associates. Leighton Group Chief Executive Wal King flew in from Sydney with a number of senior executives from Leighton Holdings to attend the event.

Wal said the Gulf region formed an important part of the Group’s growth strategy.

“We see the Gulf region – particularly the UAE and Qatar – as a key component of our overseas expansion plans”, Wal said.

“We’ve made a real commitment to be here for the long-term, and so far things are tracking according to plan”, he said.

Graeme Dunn, General Manager of Gulf Leighton (the Leighton Group’s operating company in the region) said the Gulf region offered tremendous construction opportunities and that it would become a key market for the Group.

Gulf Leighton was established this year, and the company has already secured both the US$400 million Al Shaqab Equestrian Centre in Qatar, and the US$64 million roads and infrastructure project, in joint venture with Kier, for the City of Arabia development in Dubai.

Wal and the team from Leighton Holdings visited both projects during their visit and were impressed with the progress made to date.

Mr Dunn said the company had learnt a great deal about the region’s operating environments in a relatively short period of time.

“We’ve been reasonably conservative in our approach, preferring to learn as much as we can about the various markets in the region and the type of opportunities available to us before tendering for any work”, Mr Dunn said.

“It’s an approach that has served us well to date. So far, we‘ve secured two substantial projects for two well-respected clients, and we are making steady progress on both of these.

“We have identified a number of other opportunities, primarily in civil infrastructure and building, across Dubai, Abu Dhabi and Qatar. We expect our workload to grow substantially over the next three to five years”, he said. n

Leighton officially launches operations in the Gulf

Top: Leighton Group CEO Wal King speaks at the launch. Centre: Gulf Leighton General Manager Graeme Dunn welcomes guests. Bottom: The Al Shaqab Equestrian centre is progressing well.

Flextronics factory completed in ‘record time’

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Spectacular opening for Wynn’s Macau resort

Chairman and Chief Executive

of Wynn Resorts, Steve

Wynn, officially opened

the doors to his new luxury casino

development in Macau at 11.30pm

on Tuesday, 5 September. Wynn

Resorts Macau opened to much

fanfare as a large crowd queued

outside the doors awaiting the

scheduled midnight opening.

The luxury resort, which was designed

and constructed by the Leighton-

China State Joint Venture, contains:

• a 600-key hotel tower;

• gaming areas with a total of

200-tables and 380 slot machines;

• six restaurants including sophisticated Japanese, Italian and Cantonese restaurants that serve authentic dishes and other eateries providing more casual dining;

• a retail arcade;

• a ballroom and meeting rooms equipped with the latest technological facilities including audio-visual equipment;

• a health club and spa; and

• a large car park.

All of the guest rooms have been designed for maximum comfort and the resort has all of the features expected in such a high-class hotel

including fine Italian linens, exclusive bath amenities, flat screen LCD televisions and high-speed internet access.

The 600-key hotel tower range from deluxe rooms at HK$2,600 per night to two-bedroom suites that cost HK$30,000 per night and have magnificent views of Macau’s skyline. These suites are lavishly furnished and have 24-hour personal butler service, a ‘his’ and ‘hers’ bath with dressing areas for each bedroom and an in-room spa therapy suite.

All of the guests can enjoy the use of the resort’s spa, a well-equipped

Wynn Resorts Macau has opened with a great fanfare and fireworks.

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fitness gym, two heated pools or they can just relax in a whirlpool in the magnificent surroundings of sculptured gardens.

The resort has décor to match – Steve Wynn has displayed a US$10 million Ming vase and a giant dragon made from 80,000 pieces of crystal.

The Leighton-China State Joint Venture undertook the project's design and construction, and is currently developing a $HK1.2 billion second stage, which is due to open next year. The second phase includes additional gaming tables, two restaurants, more retail shops and a theatre.

Leighton–China State was selected for its ability to deliver a high-quality product that would differentiate Wynn Macau from its competitors.

“I’ve never been a person who thinks bigger is better. I happen to think better is better, pure and simple”, Steve Wynn said.

He said that, despite the potentially huge profits, he had not rushed into the Macau casino market after securing his operating licence in 2002. He said his emphasis remained on quality.

“We are different from the other (casino operators in Macau).

We don’t build down and dirty quickies. Regardless of the market, the quality of experience offered by the resort is the determining factor of the future and its growth”, he said.

This is evidenced by Wynn Macau’s Performance Lake, located in front of the resort’s main entrance. This choreographed water show has 200 programmable jets with dramatic fire effects and shimmering light performances expressing various moods and emotions. This spectacular performance takes place every evening. n

The Leighton-China State Joint Venture undertook the

project's design and construction, and is currently developing

a $HK1.2 billion second stage, which is due to open next year.

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He said that Leighton had recorded another very successful year,with profit

after tax up 28% and a 32% increase in dividends to 66 cents per share.

He also confirmed the company had achieved a record profit of A$276 million in the 2005/06 financial year.

“The major contributors to the 2005/06 result have been construction activity for a number of large Australian infrastructure projects, contract mining in Australia and Asia, and another strong property development performance”, he said.

“Total revenue, including joint ventures, was up by 32% to A$10 billion. The Group reported an average return on shareholders funds of 27.7%, placing us 26th of the 100 largest listed Australian companies by market capitalisation.

“The new financial year has also started well for the Group with total revenue for the first quarter to 30 September 2006 up 22% to A$2.9 billion. This generated a profit after tax (unaudited) of A$67.7 million, an increase of 34% on the prior first quarter”, he said.

“Work in hand has increased by 13% in the first quarter of 2006/07, from A$16 billion at 30 June 2006 to A$18 billion as at 30 September 2006. This figure demonstrates the Group’s diverse market presence and the continued strength of the upswing for infrastructure and resources”, he said.

Chief executive officer Wal King, said that the Leighton Group was in a strong market position in Australia and Asia, and that these major markets had very positive outlooks.

“Strong demand for new infrastructure is fuelling investment in roads, rail, water, health and energy. With all levels of government increasing spending on infrastructure, we are seeing a broad range of major engineering opportunities in Australia”, said Wal.

“Asia’s demand for coal and iron ore is likely to remain strong for the foreseeable future providing good contract mining opportunities in Australia and Asia. This demand should also support infrastructure and process engineering opportunities over the next few years.

“Since the end of June, we have been awarded a number of significant contracts including the:

• A$2 billion North-South Bypass Tunnel and the A$1.4 billion Gateway Bridge Upgrade, both in joint venture in Queensland;

• an A$800 million mining contract at Prominent Hill in South Australia; and

• the new A$300 million Defence Headquarters near Bungendore in New South Wales.

“In addition, the Group is short listed or preferred on other large contracts including the A$1 billion Gold Coast desalination plant in Queensland, the A$400m+ Perth-Bunbury Highway in Western Australia and the A$1.7 billion City of Dreams project in Macau.

“Hong Kong, Macau, Indonesia and Malaysia will continue to provide a solid base for our operations in Asia, supplemented by our expansion into the newer markets of India and the Gulf Region.

“India has emerged as potentially a very important market and we have

Leighton Group’s work in hand reaches A$18 billionIndia emerges as important market.

Speaking at the Leighton Group's 45th annual general meeting, chairman Geoff Ashton reported to shareholders that, at the end of September 2006, the company's work in hand had strengthened to A$18 billion.

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Leighton Group’s work in hand reaches A$18 billionIndia emerges as important market.

A$350 million worth of work in hand

in that country as of 30 September

2006. Opportunities being pursued

include industrial buildings, large-

scale infrastructure such as tollroads

and power stations, mining, and oil

and gas.

“The Gulf Region is experiencing

a construction boom, fuelled by

massive oil and gas revenues. The

Group is focused on the successful

execution of the A$550 million Al

Shaqab Equestrian Academy in

Qatar and the City of Arabia project

in Dubai, and will selectively pursue

other building and infrastructure

opportunities in Qatar, Dubai and

Abu Dhabi.

“With all of this activity and the

opportunities still emerging, it really

is difficult to recall a more positive

environment for the Group.

“As a result of our momentum and

the continuing strength in both the

infrastructure and resources sectors,

we are well placed for sustained

growth over the next few years”,

Wal said. n

Leighton Asia (Southern) has established a mining scholarship program in Indonesia to assist in the education, training and career development of some of Indonesia’s most promising mining engineers.

The program is named after John McBreen, a key member of the Leighton senior management team

who died in 2006 at the age of 45, after a short battle with cancer.

As Leighton Asia’s general manager for mining, John was instrumental in the growth of the company’s business in Indonesia, taking annual revenue from US$30 million to US$180 million in just over five years and making it the most profitable business unit in the company.

He was admired for his knowledge of the mining and plant business, his ability to find solutions to difficult problems, his care for those for whom he was responsible and his integrity in everything that he did.

In commemoration, each year, Leighton will provide three scholarships for high-achieving mining engineering students entering their final year of study at the Institute of Bandung, Indonesia.

There will be two types of scholarships:

• International Scholarship

One scholarship will be offered each year for a candidate to spend the final year of his/her degree studying at the University of New South Wales in Australia. The scholarship will include tuition fees, medical insurance, accommodation, living costs and airfares.

• Domestic Scholarship

Two scholarships will be offered each year to candidates to support their final year of study at the Institute of Bandung in Indonesia. The scholarships will include tuition fees, accommodation and living costs.

All scholarship recipients will receive paid work experience during their university holidays at one or more of the Leighton Group’s mines in Australia or Indonesia and will be offered full-time employment with the company on graduation.

The inaugural scholarships will commence in early 2007. n

John McBreen Leighton Mining Scholarship

The new Nokia plant in India.

Geoff Ashton.

Right: John McBreen.

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W ork at the site, located in one of the most remote areas of the Indonesian

province of Papua, covered a broad range of activities – all undertaken by Leighton on behalf of the EPC contractor, KJP, to a very tight timescale.

Worth in total about US$108 million, Leighton’s projects included:

• extensive site development – some 400 hectares of forest harvesting, close to 6-million cubic metres of bulk earthworks and 10 kilometres of paved roadworks, plus slope protection and structural dikes; and

• constructing and erecting a 7500-bed modular-design construction camp in joint venture with ATCO Structures Australia.

Both of the contracts faced immense challenges during their mobilisation phases due to their extreme remoteness (some 3200 kilometres) from Jakarta. With no road or air

access to the site, literally everything required had to be delivered to a temporary beachhead constructed by Leighton.

In establishing its operations on site, Leighton first had to set up a reliable supply chain, transportation and heavy equipment subcontracts as well as specialist EPC works packages such as mechanical and electrical installations.

The site proved to be even more difficult than expected. Apart from the physical location difficulties for carrying out earthworks, during 2005, the area was pelted with in excess of 4800mm of rainfall. This was made worse by the extremely poor soil conditions that, in many locations, totally prevented earthmoving from being undertaken by conventional methods.

Because the geotechnical conditions were far worse than expected by the client, Leighton also provided expert geotechnical advice to help overcome the difficulties being encountered.

As a result, with the agreement of the client, work methods were changed and new milestones set.

Similar flexibility and proactive interaction with the client was displayed with the contract to construct the massive camps required to accommodate workers at the remote location. As more information about the site unfolded, and in line with changing requirements, the Leighton-ATCO joint venture responded quickly to the ongoing flow of revisions to the engineering drawings, in total, some 1200 of them.

Impressively fast progress was made on the camp installation program. Due to various circumstances, the client handed over the site some four months later than expected. However, the Leighton-ATCO team managed to complete the entire facility in accordance with the original program – a crucial element in the client maintaining the schedule for overall construction of the LNG facility. n

Leighton’s role in developing the US$2 billion BP Tangguh LNG facility is drawing to a close after a two-year involvement under four separate contracts.

Mission completed at Tangguh LNG plant

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Taking large numbers of untrained people into a construction workforce could be a recipe for disaster. However, Leighton did this at its Tangguh LNG project and has achieved an amazing four million manhours without a single Lost Time Injury (LTI).

L eighton’s work at the Tangguh

LNG project in West Papua has

been ongoing for the past

two years.

To meet a demanding schedule, more

than 1000 workers were directly

employed both on and off site at peak

construction. Many of them were

drawn from ‘directly affected villages’

as part of the project’s community

development program.

Leighton embraced the challenge,

recruiting, training and integrating

workers from the local community into

its workforce – despite their skill sets

being mainly associated with fishing

and agriculture. At the start, most of

them had virtually no understanding of

the work involved, or of occupational

health and safety.

In a carefully planned program,

many hundreds of local people were

trained to safely and competently

undertake general construction work,

operate heavy mobile plant and

work as spotters, safety officers and

administrators.

• Safety training and skills

development started immediately

upon arrival on site.

• A ‘buddy’ system provided gradual integration into the work environment the trainees working under experienced personnel, who acted as mentors and coaches for the first few weeks.

• Structured classroom training and on-site coaching continued for the first month of employment.

• Assessments of performance were carried out.

• When considered to be competent, the workers were allowed to do certain work on their own, under the scrutiny of their supervisor.

Senior management addresses the entire workforce at pre-start meetings; reinforcing the commitment to safety. Then, each supervisor conducts a Total Safety Task Instruction with his workgroup. The supervisors observe ‘behaviour’ and provide data which is collected and analysed so that programs to recognise and change unsafe traits can be developed and implemented.

The outcome of the efforts and investment in training and safety has certainly paid dividends in both production and safety. In total, the combined Leighton Tangguh workforce has worked more than

four-million manhours without a LTI. This performance has been a major contributor to Leighton Contractors Indonesia achieving an overall safety performance to date of 12 million manhours without a LTI.

Leighton’s excellent safety performance on the Tangguh LNG project has now been recognised by the client. Presenting commendation certificates, KJP’s deputy health, safety and environment manager, Simon Heng, said that the performances on both projects were outstanding, particularly when the types of activities and the manpower were taken into consideration.

“Both Leighton and the Leighton ATCO Joint Operation have shown their professionalism in executing their works, and have displayed their commitment to health safety and the environment”, Simon said.

The Tangguh Camp construction project was also recently awarded the prestigious annual Leighton Asia Safety Award – a hotly contested award which recognises the impressive results achieved, and the team and individual contributions required under difficult circumstances in a remote location. n

Beating safety challenges at Tangguh

Leighton Asia (Southern) Systems Manager, Paul Freeman, presents monthly safety awards to workers.

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T he 2.1 kilometre tunnel links Butterfly Valley (Cheung Sha Wan) in Kowloon to Tai Wai

in Shatin and is an important part of Hong Kong’s bid to alleviate traffic congestion between and in these areas.

The project, constructed by Leighton in joint venture with Kumagai Gumi, has been undertaken for the Hong Kong Highways Department and its dual road tunnels now provide a vital link between the Kwai Chung container terminals and the Shenzhen border crossing.

Work under the contract also included a number of major buildings for services and operations, electrical and mechanical installations, a toll plaza and toll collection facilities.

A recent topping out ceremony marked the completion of the four services buildings – the administration building, north and

south portal buildings and the ventilation building – which cover a gross floor area of 42,000 square metres.

The 7300 square metre administration building houses state-of-the-art control and surveillance systems, which monitor the entire Route 8 network.

Three massive ventilation buildings accommodate 42 two-metre diameter fans, which have been installed in cathedral-like 14-metre-high two-storey duct rooms.

To meet the tight schedule, all four buildings were constructed at the same time over an eight-month period. Some 46,000 cubic metres of concrete were poured, including some single pours of over 1800 cubic metres. These were needed to form sections of the 1.5 metre-thick transfer slabs which span each of the three-lane tunnels.

While the topping out ceremony marks the end of the reinforced concrete works, there is no let up for the building team as they push to complete the internal, external and architectural finishes of these four buildings and also the two portal buildings of the adjacent Shatin Heights tunnel. n

After three years of intensive construction, the HK$2 billion Route 8 Eagle's Nest Tunnel is close to completion – right on schedule.

Pictured above: (from left to right) Russell Jones (Kumagai), YS Chow (Highways), Mak Chai Kwong (Highways), Charlton Wong (Maunsell), Joe Dujmovic and Mark Ashton.

Hong Kong road tunnel commissioned

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T he company’s managing director, Joe Dujmovic, said that preliminary investigations

had highlighted a number of promising prospects.

“The market offers considerable potential to us”, he said. “We have already identified a number of exciting opportunities which we believe are worth pursuing.

“Although Korea is a mature, well-developed market, there are still opportunities for us to add value – particularly in large- scale infrastructure.

“Leighton has always believed that, to be successful in a market, it has to commit to a permanent presence there. In line with this, we have established an office in Seoul and have appointed Michael Griffin as its general manager”, he said.

“Michael has a tremendous amount of experience that will prove invaluable to us in Korea. He has worked extensively throughout Australia – for some of that time with Lend Lease – and has also run his own company. He will be a valuable asset to our organisation”, said Joe. n

Leighton Asia (Northern) has established itself in Korea and has plans to pursue large-scale infrastructure opportunities there.

Leighton Asia expands into Korea

T he project, being undertaken for the Australian Government’s Department of Foreign Affairs and Trade, involves construction of a three-storey chancery and all associated facilities.

Construction started in September and the project is expected to be completed by the end of December 2007.

In commenting on the contract, Australian Ambassador Alistair Maclean noted the long relationship that has existed between the two countries.

“In 2005 Australia and Laos celebrated the 54th anniversary of the bilateral relationship. The new Australian Embassy in Vientiane is a promise in 2006 to continue our long history of friendship with Laos in the future”, he said.

Leighton Asia has been operating in Laos for over 10 years, having previously built the Lao Star satellite earth station and the Vientiane diamond-cutting factory. Leighton also built the Australian Embassy in Hanoi, Vietnam. n

Leighton Asia (Northern) recently secured a contract to build the new Australian chancery in the Laos capital, Vientiane.

New Australian chancery underway in Laos

Michael Griffin, general manager Seoul, Leighton Asia (Northern).

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TBM Launched for Hong Kong tunnels

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T he ceremony marked an important milestone in the strategically important Kowloon Southern

Link (KSL) project, said Kowloon-Canton Railway Corporation chief executive officer James Blake.

“The Corporation is committed to constructing this railway with minimal disruption and inconvenience to the busy pedestrian and road traffic in the Tsim Sha Tsui area”, he said, speaking about one of the most densely populated and congested areas of Hong Kong.

The Kowloon Southern Link project will link West Rail and East Rail between Nam Cheong station and the new East Tsim Sha Tsui station, and is part of a HK$2 billion contract being undertaken by Leighton Asia, in joint venture with Balfour Beatty, Kumagai Gumi and another Leighton Group company, John Holland.

The joint venture’s scope of works includes the design and construction of:

• the new underground West Kowloon Station;

• twin one-kilometre-long, seven-metre diameter tunnels, using the new tunnel boring machine (TBM); and

• a section of cut and cover tunnels connecting the existing East Rail tunnels with the new tunnels.

The project was started in August last year and will be completed in 2009.

The slurry type TBM has been named ‘Xiaolongnu’ (Little Dragon Girl), after the legendary character of the popular Chinese martial arts story ‘The Return of the Condor Heroes’.

“The name is most befitting because the machine will do her work with the agility and effect of a super kung fu fighter, yet with a feminine touch of tenderness and softness as she tunnels her way through soft ground and hard rock”, James Blake told guests at the commissioning event.

Officiating guests at the ceremony also included Joshua Law (Permanent Secretary for Environment, Transport and Works) and K K Lee – the KCRC’s senior director Capital Projects.

Xiaolongnu started excavating at a launching shaft in the West Kowloon Station site at the corner of Canton Road and Austin Road. The retrieval shaft is located right in front of the Sheraton Hotel on Salisbury Road.

As the above ground works are planned to be minimal, it will be possible to maintain at least three eastbound and three westbound lanes on the heavily-trafficked Salisbury Road and two lanes on busy Canton Road throughout the construction period.

The TBM excavation works, including twin-bore excavation and reassembly of the TBM, are expected to be completed in Q1 2008. n

An 80-metre long tunnel-boring machine that was custom-built in Germany

for the Kowloon Southern Link has been officially launched at a ceremony in

Hong Kong attended by more than 250 guests.

The slurry type TBM has been named ‘Xiaolongnu’ (Little

Dragon Girl), after the legendary character of the popular

Chinese martial arts story ‘The Return of the Condor Heroes’.

Page 16: IN - CIMIC Group · P8 Leighton Group results P13 Korean expansion THE LEIGHTON ASIA MAGAZINE | NOVEMBER 06 IN Spectacular opening for new luxury casino. 2 Contents ... metre factory

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