Tender Announced for Construction of Ovčari - Prenj Tunnel - Mostar Section

The European Bank for Reconstruction and Development (EBRD) and JP Autoceste FBiH yesterday announced the tender for the construction of the Ovčari – Prenj Tunnel – Mostar North section, 35 kilometers long, and the Mostar North - Mostar South section, 15 kilometers long, thereby initiating the contractor selection procedure for the construction of these sections.

The procurement of construction works will be carried out according to the Yellow FIDIC principle with elements of the Green FIDIC, in order to minimize the investor's risk in terms of the final construction cost.

A total of 10 bridges, 12 tunnels, and two interchanges will be built along the entire section from Ovčari to the Mostar South interchange. The most complex construction undertaking on this section is the Prenj Tunnel. The length of the tunnel according to the Conceptual Design is 10.165 kilometers, making it the longest tunnel in the region. Due to its great length, during the design and construction, and later operation of the tunnel, it will be necessary to implement special safety measures in tunnels in accordance with Directive 2004/54/EC.

JP Autoceste FBiH, through cooperation with financial institutions, has secured a joint financing offer from the European Investment Bank (EIB) and the European Bank for Reconstruction and Development (EBRD) in the amount of 600 million euros for the financing of the Ovčari – Prenj Tunnel – Mostar North section. With such a financial arrangement, the possibility of applying for non-refundable EU funds in the amount of up to 120 million euros is also opened.

Furthermore, for the Mostar North – Mostar South section, a joint financing offer has been secured from a consortium of domestic banks and the European Bank for Reconstruction and Development (EBRD) in the total amount of 240 million euros, which opens the possibility of applying for non-refundable EU funds in the amount of up to 12 million euros.