British Columbia will enter into a contract with the joint venture of Peter Kiewit Sons and Flatiron Constructors Canada to design and build the new, 10-lane Port Mann Bridge and carry out highway widening at the previously agreed cost of US$1.93 billion. Cost overruns or construction delays would be the responsibility of the contractor.
"We said from the beginning that this was a very challenging capital market environment, and that executing the project would involve complex negotiations," said Falcon. "We commend Macquarie Group for being able to arrange committed debt and equity for the project through unprecedented turbulence in global markets, and for assembling a first-class team of consortium partners. Unfortunately, the parties could not agree on final terms. Partnerships BC recommended not to proceed, and the Province and Connect BC have mutually agreed to end the P3 procurement process. However, as a Province, we remain committed to using P3 arrangements where they prove to be in the best interests of BC taxpayers."
