THE target completion date of the Guangzhou-Shenzhen-Hong Kong Express Rail Link has been postponed until the third quarter of 2018 and the Hong Kong Government has agreed to revise the project's cost to HK$84.42 billion (US$10.89 billion).

The Hong Kong Government will seek Legislative Council approval for total funding of HK$19.6 billion to cover the increased cost for the project.

The MTRC Corporation responsible for constructing the Express Rail Link has agreed that it will bear and finance further cost overrun beyond the agreed level, a statement issued by the Hong Kong Government Information Service (GIS) said.

Hong Kong's Secretary for Transport & Housing, Anthony Cheung, said the agreement does not mean the Government is satisfied with the MTRC's performance as project manager, adding it may consider legal action over delays and cost overruns. 

But, in view of the extremely tight works schedule, the two sides have agreed to initiate such action only after the rail project's commissioning in 2018.