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Chile launches new tender for La Punilla reservoir

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Chile launches new tender for La Punilla reservoir

Chile’s public works ministry (MOP) has launched a tender for the La Punilla reservoir.

A previous contract was terminated following delays and clashes between authorities and concessionaire Astaldi.

The new contract, with a reference budget of 8.8mn UF (inflation-linked units, US$320mn), entails building a 565Mm3 (million cubic meters) dam and a 137m wall in Coihueco municipality, Ñuble region.

The dam will store water for consumption and hydroelectric generation, according to a notice in the government gazette.

Technical bids will be opened on March 17, while economic offers will be unveiled on March 31. Documents will be available here, in Spanish.

Astaldi won the previous contract in 2016, but work stopped because of legal action over land expropriations, the concessionaire’s financial problems, and a dispute with MOP regarding alleged contract design errors. 

The dispute led to an arbitration process, but both parties agreed to terminate the contract this year.

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