IR project's important, so we won't stop.

That is the reaction of contractors involved in building the Marina Bay Sands integrated resort, to more bad news about casino operator Las Vegas Sands.

The company, which was awarded the $6.7billion project in 2006, said in a US regulatory filing that it has to cut spending on development and raise more capital. It had US$8.8b ($13b) in long-term debt at the end of June.

But chairman and chief executive officer Sheldon Adelson yesterday reaffirmed the company's commitment to the success of Marina Bay Sands. He said: 'I am pleased to say that the Singapore Government's support of our project remains strong.'

The project's main contractor, Ssangyong Engineering & Construction, said it would try to keep to schedule. The contract is worth about US$680 million.

A contracts manager at Ssangyong said: 'Of course, things are going on. If you look at our site, you can see works are continuing.

'The Marina Bay Integrated Resort is a very important project not only for us, but for Singapore too. We can't stop work now.'

The manager said Ssangyong, a Korean company, has not heard from Sands yet.

'Wire agencies have reported its financial problems but many big companies would have such problems in a recession,' he said.

Bloomberg reported Mr Adelson had met Singapore government officials, with both sides pledging to complete the project.

Tat Hong Heavy Equipment, which supplies cranes to sub-contractors working on the project, is playing the situation by ear.

One of its senior engineers, who declined to be named, said it will continue supplying cranes as long as it is paid on time.

He said: 'The sub-contractors are the ones paying us. We're not directly involved in the construction...

'If work is stopped and the sub-contractors don't pay us, we'll simply stop sending our cranes there. We can also program the on-site cranes to stop working.'

Tat Hong supplied at least 30 cranes when piling work began at the end of 2006.

He said: 'Now that the structure is up, we have fewer cranes there. We'll be flexible where payments are concerned.

'If our customers can't pay the full lump sum, we'll allow them to stagger payments.'

DDS Contracts & Interior Solutions, which is designing the resort's interiors, said it also intends to carry on with its work.

Its spokesman said: 'Our project was awarded by Ssangyong and at the moment, we haven't heard anything (about the construction being halted).'

The DDS contract, worth $69.1m, involves fitting out 716 guest rooms, including guest corridors and lobbies, in Hotel Tower 1 from the 6th to 49th storeys.

Mr Seow Soon Yong, chief executive of Yongnam Engineering & Construction, which is supplying steel to the site, told The New Paper that his company's five contracts with Sands were proceeding smoothly.

Paid promptly

Mr Seow said: 'We have been receiving payments promptly. Yongnam's focus now is on the on-time completion of these contracts, which have not been delayed.'

Civil engineering firm Bachy Soletanche, which is involved in the piling work, did not respond at press time.

The Singapore Tourism Board told The New Paper it had nothing to add beyond a statement on 29 Oct, when it said it was in talks with Las Vegas Sands to 'facilitate the success' of the project.

Las Vegas Sands stock plunged US$3.81, or 32.7 per cent, on Thursday to US$7.85.

This article was first published in The New Paper on Nov 8, 2008.