Balfour Beatty contract

Balfour Beatty PLC
01 November 2004


1 November 2004

    BALFOUR BEATTY AWARDED £400 MILLION BURJ MALL RETAIL DEVELOPMENT IN DUBAI
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World's biggest shopping centre to be built for leading Dubai-based developer
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Balfour Beatty, the international engineering, construction and services group,
announces today that Dutco Balfour Beatty, its jointly owned construction
business in the United Arab Emirates, with Al Ghandi /CCC have won the £400
million contract to build the Burj Mall retail development in Dubai, the world's
biggest shopping centre.

Commenting on the contract, Balfour Beatty Chief Executive, Mike Welton, said:
'Balfour Beatty has been working in Dubai for over 25 years and we are strongly
committed to the Dubai market as part of our growth strategy for the future. We
are delighted to win this major contract which is testimony to our
market-leading position in the region and our track record of delivering
significant projects on time and to budget.'

The Burj Mall is being developed by the largest and most successful Dubai-based
developer, EMAAR Properties. It will incorporate 1.3 million square metres of
shopping space over four floors and will include the world's largest gold souk
and atrium with a three-storey aquarium. It is anticipated that the mall will
attract 50,000 shoppers at peak time.

The centre will be part of a major new complex, including the 700 metre Burj
Tower, which will be the world's tallest tower, and the centrepiece of the Gulf
region's most prominent urban development to date.

Construction will commence in November 2004 and is scheduled to be completed at
the end of 2006. Dutco Balfour Beatty will execute the contract in partnership
with Al Ghandi/CCC.

                                      ENDS

Enquiries to:
Tim Sharp
Tel: [phone]
www.balfourbeatty.com



Notes to Editors

1. Balfour Beatty has been operating in Dubai since 1977 through its jointly
owned construction business Dutco Balfour Beatty, and its electro-mechanical
joint venture company BK Gulf. It has completed major heavy civil engineering
projects including power stations, roads, bridges, reservoirs, high-rise and
speciality buildings, airport infrastructure projects and port developments.
Notable projects include:

-     The US$4 billion Jebel Ali Port project for the government
      of Dubai
-     Civil works at Dubai International Airport, including
      airport access roads and parking
-     Civil and marine works, and electro-mechanical works with
      BK Gulf for the Burj Al Arab Hotel

2. Balfour Beatty is a world-class engineering, construction and services group,
well positioned in infrastructure markets which offer significant growth
potential. Its partnerships with public and private customers generate secure,
long-term income. Its financial position, with significant net cash and with
strong operating cash flows, offers continuing flexibility to add additional
capacity and expertise to the business mix and to make appropriate investments
in PPP/PFI and other long-term growth opportunities.



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