Background informationProject Created: June 15, 2011
Sierra Yoyo Desan Resource Road
Year in Operation:
Repositioning of Existing Facility
The Sierra Yoyo Desan Resource Road (SYD) is a 180 km long road that provides a primary source of access to a land area comprised of oil and gas within the Province of British Columbia. The road has been almost exclusively utilized by oil, gas, and forestry companies and has deteriorated over time due to the use of heavy equipment and severe weather conditions. Because of this, an upgrade of the road was suggested and designed to promote all-season oil and gas activity. This is expected to stimulate economic growth as part of the Province’s Oil and Gas Development Strategy. The upgraded road project consists of the following: 1) a new 22 km bypass and new major bridge across the Fort Nelson River, 2) ongoing operation and maintenance to specific performance standards, and 3) safety enhancements including improved sightlines and road surface. The new road will be gravel-surfaced.
Delivery Method as described in the country where it's located:
Design Build Finance Operate Maintain
Is the project still active:
Note: All project information was taken from the Partnerships B.C. webpage.
SYD Access Rd
Northern Rockies A
Northern Rockies A
Souces of Project Support (Non-monetary)
Land: In 1998, the road was consolidated as a public roadway owned by the B.C. Transportation Financing Authority (BCTFA). The project only upgrades the existing roadway, and therefore, no new ROW or easements were needed to support the project.
Revenue Stream (Cash Flow) Created Through Initial Commitment of Public Sponsor(s): The Province has agreed to make a contribution to the project in the form of royalty rebates equal to 50% of the fees and levies paid by industrial road users.
Revenue Stream (Cash Flow) Protected Through Long Term Commitment(s) of Public Sponsor(s): The contractor will receive annual payments benchmarked at $8million CAD to be paid entirely through fees collected from industrial road users based on their assets and activities in the area. These will be collected by the BC Transportation Financing Authority, and kept in a separate account to pay the contractor—the Province makes no direct contribution to these payments. The payments will be tied to performance in two specific areas: 1) availability of a good, usable road to standards specified in the agreement, and 2) operations and maintenance (O&M) consistent with the agreement at all times. The O&M payments consist of a base payment amount which varies with actual costs, a payment based on the number of rig moves, and a road user satisfaction payment. Failure to meet performance standards in these areas will result in payment deductions.
Environmental Clearance: The concessionaire is fully responsible for obtaining environmental permits and respecting environmental regulations as they apply to the design, construction, operations, and maintenance of the new SYD road.
Souces of Project Support (Monetary)
No sources of support selected!
Project Delivery & Finance Method
All Public Finance. Public Sponsor contracts for initial design, and separately contracts for initial construction. Public Owner operates and maintains the resulting facility.
Is there an independent checking engineer? No
Project Finance Method: All By Private Sponsor
Qualifications Based Selection
Request for Qualifications
Request for Proposals
Invitation for Bids
Term for Key Components & Forms of Contract
Combined Term: Initial Design, Construction, O&M Period