Singapore Power (SP) has secured loans totalling S$1.59 billion (1 S$ [Singapore dollar] = $0.82) from several lending institutions to develop, construct, and operate two cross-island cable tunnels. More specifically, it was SP Cross Island Tunnel Trust – the SPV for the project formed by SP PowerAssets Limited (a subsidiary of SP) – that obtained the loan. The lenders include DBS Bank Limited, Mizuho Corporate Bank Limited, Oversea-Chinese Banking Corporation Limited, Sumitomo Mitsui Banking Corporation, Bank of Tokyo-Mitsubishi UFJ Limited, and United Overseas Bank Limited. DBS Bank served as the financial adviser to SP. The project will entail the construction of two tunnels (35 km long) – the North–South and East–West tunnels – 60 metres underground. Costing S$2.44 billion, the project is expected to begin in early 2013 with an expected completion date of 2018. SP has already awarded six contracts for the project to five companies: Hyundai Engineering and Construction, the JV of Nishimatsu Construction & KTC Civil Engineering and Construction, Obayashi Corporation, Samsung C&T Corporation, and SK Engineering & Construction.
