The U.S. engineering, construction and design company Bechtel Corporation is interested in entering the Ukrainian market for the construction of roads and other more complex infrastructure facilities, Ukrainian Ambassador to the United States Oksana Markarova said.
“I had the honor to speak at the Ukraine Invest round table on the importance of Ukraine’s active competition for investments, attracting U.S. investors to Ukraine and common American-Ukrainian projects in important industries for us, where out team immediately held a meeting with Stuart Jones, President of Regional and Corporate Relations of Bechtel Corporation, the U.S. engineering/construction/design company with revenues of $17.6 billion that implements infrastructure projects around the world and has an interest in entering the Ukrainian market for the construction of roads and other more complex infrastructure facilities,” Markarova wrote on Facebook on Friday.
She assured that the Ukrainian Embassy in the United States will actively work with Prime Minister of Ukraine Denys Shmyhal, President Volodymyr Zelensky’s Office, Ukravtodor and the Ministry of Infrastructure of Ukraine, as well as IFIs and U.S. financial institutions, in order to turn this interest into new projects, investments and jobs for Ukraine.
President of Ukraine Volodymyr Zelensky has announced that in 2021, on the 30th anniversary of Ukraine’s independence, within the framework of the Big Construction program, it is planned to open the longest highway in the country – M-30 – from Stry in Lviv region to Izvaryne in Luhansk region.
“Our whole philosophy is aimed at uniting Ukraine, and this is what the infrastructure is about. We want to unite the west and the east with one large high-speed highway which is called M-30. This will be the longest road in Ukraine – 1,400 kilometers. It will go from Stry, but so far only to reach Pokrovsk, because 200 kilometers of this road is in the temporarily occupied part of Luhansk region,” Zelensky said during a working trip to Zaporizhia.
Deputy Head of the President’s Office Kyrylo Tymoshenko said that part of the route was restored in 2020, the rest will be restored next year. According to him, even without taking into account 200 km in the temporarily occupied territory, this route is still the longest in Ukraine.
The RDS group of road construction companies as part of the tender of the Automobile Road Service in Luhansk Region won by the group with the approved cost of UAH 816.99 million will repair 32 km of the road on the section from the city of Schastia to Novoaidar on the N-21 highway, which connects Severodonetsk and Stanytsia Luhanska.
“In the city of Novoaidar, we have built a production base. Investment has already reached some $3 million. There will be an Amomatic-LMK VS 240S asphalt concrete plant with a capacity of 240 tonnes per hour. From here we will supply all inert materials and asphalt to the site,” the co-owner of the group, Yevhen Konovalov, told Interfax-Ukraine.
According to information in the ProZorro system, the expected purchase price was UAH 832.5 million, the competitors of RDS, which was represented by Rostdorbud LLC in this tender, were Avtomahystral-Pivden LLC and Onur Construction International LLC. The contract with the winner was signed this week.
Konovalov said that the company will have to carry out the following work: shaping of old asphalt and concrete surface, laying a 15 cm roadbed consisting of a mixture of the material obtained from the shaping of the old surface and the new stone sand mixture, prepared by mixing with cement and bitumen emulsion, adding two layers of asphalt and concrete of 10 cm and 5 cm and repair of exits, stops and road marking.
“The implementation of this project will create 450 new jobs in this sensitive region. Geodetic survey work is already underway at the site. Inert materials are being delivered to the production facilities and the installation of a mixer plant and the asphalt concrete plant is underway. Some 121,370 tonnes of asphalt and 137,000 tonnes of the mixture need to be produced and laid in three months,” the co-owner of RDS said.
According to the data in ProZorro, the contract cost is dynamic. The main work (UAH 788.8 million) is expected to be done this year. The term for the provision of services is until the end of 2021.
The village of Stanytsia Luhanska is the only checkpoint between Ukraine and government uncontrolled areas in Luhansk region. From 10,000 to 13,000 people daily crossed it before quarantine. This road also unites different regions of Luhansk region and it is of key economic importance.
The Ukrainian group of companies RDS, which is among top three largest road construction companies in Ukraine, includes Kyivshliakhbud and Rostdorstroy. Its core business is construction, modernization and maintenance of roads and bridges, construction of airfield complexes.
The company is building concrete road H-14 Kropyvnytsky-Mykolaiv. As part of the reconstruction of the H-31 Dnipro-Reshetylivka highway in Poltava region, RDS is building an overpass over the railway and the section of the first concrete road in Ukraine. In 2019, the company won a World Bank tender for work on the first category highway M-03 Kyiv-Kharkiv-Dovzhansky.
As of April 2020, the company operates in eight regions of Ukraine and has ten production facilities.
The ultimate beneficial owners of RDS are Ukrainian citizens Yuriy Shumakher and Yevhen Konovalov.
KONOVALOV, LUHANSK REGION, RDS, ROAD CONSTRUCTION, SHUMAKHER
The RDS group of road construction companies will continue road work during the quarantine established due to the spread of coronavirus, and plans to continue to fully fulfill its obligations, RDS co-owner Yuriy Shumakher has told Interfax-Ukraine.
“We express support for the decision of the Ukravtodor management not to curtail the planned projects. The development of infrastructure in the country is the key to Ukraine’s competitiveness and success,” he said.
“The group of RDS road construction companies minimized attendance at work for the staff, but we continue to fully implement all of our road construction projects,” Shumakher added.
According to him, contractors and suppliers in all regions of the presence of RDS Group are working smoothly, there are no problems with the provision of construction materials.
Ukravtodor on March 17 announced its support for the government’s initiatives to prevent the spread of the coronavirus COVID-19 in Ukraine and continuation of all roadwork as usual.
“Ukravtodor supports the government’s initiatives to prevent the spread of the coronavirus COVID-19 in Ukraine. Therefore, we strongly recommend that everyone who can work remotely take this opportunity. At the same time, we want to emphasize that the deceleration of the season of road works is not yet expected. All construction and repair work continues as normal,” the state agency said.
The Ukrainian group of companies RDS includes Kyivshliakhbud and Rostdorstroy. Its core business is construction, modernization and maintenance of roads and bridges, construction of airfield complexes.
The company is building concrete road H-14 Kropyvnytsky-Mykolaiv. As part of the reconstruction of the H-31 Dnipro-Reshetylivka highway in Poltava region, RDS is building an overpass over the railway and the section of the first concrete road in Ukraine. In 2019, the company won a World Bank tender for work on the first category highway M-03 Kyiv-Kharkiv-Dovzhansky.
As of January 2020, the company operates in seven regions of Ukraine and has ten production facilities.
The ultimate beneficial owners of RDS are Ukrainian citizens Yuriy Shumakher and Yevhen Konovalov. The charter capital of the company is UAH 5.13 million.
QUARANTINE, RDS, ROAD CONSTRUCTION, ROSTDORSTROY, SHUMAKHER, UKRAVTODOR
The RDS road construction group invested almost UAH 170 million in the upgrade of its machinery fleet in 2019 and ready to enter the road construction markets of Poland and Romania, the co-owner of the group, Yuriy Shumakher, has said.
“The acquisition of modern machines, mechanisms and vehicles cost the company UAH 167.16 million. For several years now, we have been investing annually about $8 million in the renewal of our fleet of road machines,” he said in an interview with Interfax-Ukraine.
According to him, in 2019 the company’s fleet was expanded with 114 units of road machines and equipment.
Shumakher said that RDS uses its own funds, funds borrowed from Ukrainian banks and leasing companies to upgrade its fleet. Also, part of the equipment is bought through financing of manufacturing companies such as Wirtgen and Zeppelin.
The co-owner of the group said that RDS purchases mainly foreign equipment from leaders in modern engineering.
“We have ambitions to participate in tenders abroad,” Shumakher said.
According to him, unlike Ukraine, tenders in Europe have very strict criteria and a mandatory requirement, in particular, is experience in the European Union for at least three to five years.
“We participated in tenders in Moldova several times, but having no experience, we lost. Now, we are trying to analyze the market and participate in tenders in Moldova and Romania. We also plan to try to enter the Polish market as a subcontractor,” the RDS representative said.
According to him, one of the options for entering a Ukrainian company working in the field of road construction a foreign market is to buy a company abroad.
Shumakher said that RDS has been participating in international tenders for five years, working at facilities in Ukraine, which are funded by international institutions.
“We are already taking part in tenders in Ukraine for the money of international institutions. Today, a contract has been signed for the construction of the M-03 road for $12 million provided by the World Bank,” he added.
The Ukrainian group of companies RDS includes Kyivshliakhbud and Rostdorstroy. The core business is construction, reconstruction and maintenance of roads and bridges, construction of airfield complexes.
The company is building concrete road H-14 Kropyvnytsky-Mykolaiv. As part of the reconstruction of the H-31 Dnipro-Reshetylivka highway in Poltava region, RDS is building an overpass over the railway and the section of the first concrete road in Ukraine. In 2019, the company won a World Bank tender for work on the first category highway M-03 Kyiv-Kharkiv-Dovzhansky.
As of January 2020, the company operates in seven regions of Ukraine and has ten production bases.
The ultimate beneficial owners of RDS are Ukrainian citizens Yuriy Shumakher and Yevhen Konovalov. The charter capital of the company is UAH 5.13 million.
