Project Profile

Overlay and modernization of Lahore Islamabad Motorway on Build Operate Transfer (BOT) basis
Project Information
Details
Project name
Overlay and modernization of Lahore Islamabad Motorway (M2) on BOT basis
Implementing Agency
National Highway Authority(NHA)
Project scope
Overlay and modernization of 350 km long M2 toll road on BOT basis
Project Cost
PKR 46 billion
Project cost financing mix
 PKR 25.78 billion from debt
 PKR 11.05 billion, and
 PKR 9.18 billion from toll during construction
Project time-line
 Construction period 3 years (including 6 months financial close period)
 Operations period 17 years (including 7 years debt repayment period)
Expected Financial benefit to Gov.
 NHA revenue share PKR 209 billion
 Operations period 17 years (including 7 years debt repayment period)
Project status
In operations phase since 2016
Overview
The Project envisaged overlay and modernization of 357 km long 6-lane access controlled toll road connecting Lahore and Islamabad cities on BOT basis at a cost of US$ 460 million. Private party was required to finance the project costs from its own resources, operate the Project for a defined concession period and transfer the Project back to National Highway Authority (NHA) at no cost at the end of concession period. The Project’s concession period is 20 years (including 2.5 years construction and 6 months financial close period) and NHA expects to earn US$ 2 billion from the Project over its concession period. The Project was awarded in April 2014 and currently it is in operations phase.
Contact:
Team Leader Projects
Phone: +92 51 921 1983-5
E-mail: s.mazahir@p3a.gov.pk
Public Private Partnership Authority (P3A)
5th Floor, Evacuee Trust Complex, Agha Khan Road, F-5/1, Islamabad, Pakistan
Phone: +92 51 921 1983-5