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ASF Group Lodges Bid For New Broadwater Marine Project

ASF Group (ASX: AFA) and its strategic partners in China have lodged a bid for the development of a new cruise ship terminal and casino at Broadwater on the Gold Coast of Queensland.

The Broadwater Marine Project is a joint initiative of the Queensland Government and Gold Coast City Council seeking investments to deliver an integrated tourism development in Queensland.

The development is also likely to contain a hotel, casino, marina and super yacht facilities, retail entertainment, hospitality, community open space, recreation facilities and a mix of residential development.

These have the potential to boost tourist visitation, increasing expenditure into the state and local economies and creating jobs.

ASF China Property Consortium - a wholly-owned subsidiary of ASF Group, was one of four consortia that were previously shortlisted by the state and Gold Coast City Council to refine their proposals.

However, two of them have since withdrawn from the process. The remaining bidder is believed to be the ACPI Consortium.

It is expected that a response to the bid will be received in the coming months.

Broadwater Marine Project

The Gold Coast Broadwater, also known as Southport Broadwater and Gold Coast Harbour, is a large shallow estuary of water reaching from the locality of Southport to the southern section of Moreton Bay.

The world-class project could include a cruise ship terminal on State Government-owned land on The Spit or on Wave Break Island in the Broadwater.

Gold Coast councillors had in October voted to continue with the tendering process.

ASF's consortia includes: China Communications Construction Company, Guangzhou Dredging co Ltd and China State Construction Engineering Corporation Limited (CSCEC)

Chairman of ASF Group Min Yang had previously told Proactive Investors that the project would be a "gateway to Australia" and an opportunity "to build something special to attract tourists and benefit the state in employment."

One of the advantages that ASF Group has is its ability to attract tourists from Asia from its tourism division.

Analysis

Clearly, this is a potential "game changer" for ASF Group. The shortlist was whittled down from eight to four and since then, only two consortia - including ASF have submitted bids.

ASF brings China heavyweights such as: China Communications Construction Company - third largest construction company in the world, Guangzhou Dredging Co Ltd and China State Construction Engineering Corporation Limited to its proposal.

It is too early to speculate on the results of the bidding process. The announcement demonstrates the benefits of its "Australian Sino Focus" and its capacity to utilise ASF's deep Chinese contacts for such large scale projects.

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