Shenzhen Metro Line 4 Phases I & II

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In March 2009, Shenzhen Municipal Government signed with MTR Corporation a 30-year BOT contract for Shenzhen Metro Line 4. The BOT was initially agreed by the two parties in May 2005. MTR Corporation established a subsidiary company in Shenzhen, MTR Corporation (Shenzhen) Limited, to undertake the project management in Shenzhen. The BOT contract included the construction and operation of Shenzhen Metro phase 2 and the operation of Shenzhen Metro Phase 1. Phase 1 4.5 km long and started commercial operations in December 2004. Phase 1 included 20 stations in two lines: Line 1 (L1) between Lo Wu and the "Windows of the World" in the east-west direction, and the first phase of Line 4 (L4) connecting Huanggang Boundary Control Point with Shaoniangong in the north-south orientation. Interchange between L1 and L4 was provided at Huizhanzhongxin Station. Phase 2 was 15.8 km long, and consisted of 5 km of underground section and 10.8 km of at-grade and elevated sections. It was designed to have 10 stations (i.e., two underground stations, one at-grade station, and seven elevated stations). The project reached financial closure in March 2009. At that time, all major civil works contracts and electrical and mechanical contracts (including rolling stock and signaling) for construction of phase 2 were awarded. The takeover of the operations of Phase 1 was expected to occur in mid-2010 and full operations in including Phase 2 were expected to commence in the middle of 2011. The 30 years period would start from the takeover of the operations of phase 1 in 2010. The total project cost was estimated US$878.5 million (RMB6.0 billion), of which 100% was to be funded by MTR. By the end of 2009, approximately 93% of civil works for the 16-km SZL4 Phase 2 were finished and all electrical and mechanical contracts were awarded. The operation of the 4.5-km Phase 1 of SZL4 is set to begin in the middle of 2010 with full line operations, including Phase 2, by the middle of 2011. A management team has now been established and recruitment of operations staff and training has commenced in both Shenzhen and Hong Kong.