Re Contract
Balfour Beatty PLC
30 April 2008
News Release
30 April 2008
BALFOUR BEATTY AWARDED RAIL SYSTEMS WORK FOR THE NEW
====================================================
GOTTHARD BASE TUNNEL IN SWITZERLAND
===================================
Multi-disciplinary rail contract likely to be worth approximately €250 million
------------------------------------------------------------------------------
to Balfour Beatty Rail
----------------------
Balfour Beatty, the international engineering, construction, services and
investment group, announces that, as part of the consortium, Transtec Gotthard,
it has been awarded the rail systems work for the Gotthard Base Tunnel in
Switzerland by AlpTransit Gotthard AG. The contract is likely to be worth
approximately €250 million to Balfour Beatty.
Transtec Gotthard comprises Balfour Beatty Rail, Atel Installationstechnik,
Alcatel-Lucent and Alpine-Bau Mayreder. The entire project cost is estimated at
€1 billion.
The Gotthard tunnel will be the longest railway tunnel in the world and will
bypass winding mountain routes to establish a direct route for high-speed
passenger and heavy freight traffic.
Commenting today, Balfour Beatty Chief Executive, Ian Tyler, said:
'We are delighted that our consortium has been selected to carry out this major
long-term project which will utilise a number of Balfour Beatty's
multi-disciplinary rail skills. We believe that our high-speed, high-performance
rail experience is second to none and will continue to prove attractive to rail
network owners around the world as rail infrastructure investment accelerates.'
The project will involve the design, installation and commissioning of rail
infrastructure equipment for the tunnel and includes the equipping of both
single track tunnels which are each 57 kilometres long, as well as the adjoining
open North and South sections totalling approximately 11 kilometres in length up
to the connection with the existing rail network.
On completion, it is expected that the current 3 hour 40 minute travel time from
Zurich to Milan will be reduced by approximately one hour.
Balfour Beatty's responsibilities for the installation programme include total
project management, complex logistics, trackwork, overhead catenary and part of
the medium voltage supply lines for the tunnel works and a wide range of other
rail control technology.
Work on-site is expected to start at Biasca adjacent to the south portal at the
end of 2009, with a construction period of approximately seven years. Commercial
rail services are due to start through the tunnels in 2017.
The work on the track, the overhead line system and elements of the power supply
system will be carried out in joint venture by Balfour Beatty Rail GmbH, based
in Munich, which became part of the Balfour Beatty Group in 2000 when it was
acquired from Adtranz, and by Balfour Beatty Rail Projects (BBRP) based in
Derby.
ENDS
Enquiries to:
Tim Sharp
Tel: 020 7216 6884
www.balfourbeatty.com
Notes to Editors
----------------
1. Balfour Beatty Rail is the world's leading multi-disciplinary fixed rail
infrastructure contractor with annual revenues of approximately £800 million. It
has long-term relationships and major current projects for Network Rail, London
Underground, BAA, the Olympic Delivery Authority, Deutsche Bahn, AlpTransit,
Italian State Railways, Swedish State Railways and many other network owners.
2. Balfour Beatty Rail is carrying out major rail infrastructure development
projects between Hamburg and Lubeck in Germany, Malpensa to Milan, Bologna to
Milan and Florence to Bologna in Italy, Botnia and Blekinge in Sweden and
Tianjin and Shenyang in China. It is constructing a major new commuter railway
on Boston's South Shore in the US, is responsible for all the rail systems for
BAA at Heathrow Terminal 5 and is active on both the UK's overground and
underground networks.
3. Balfour Beatty is a world-class engineering, construction, services and
investment business, well positioned in infrastructure markets which offer
significant long-term growth. We work in partnership with sophisticated
customers who value the highest levels of quality, safety and technical
expertise. Our skills are applied in appropriate combinations to meet individual
customer need. 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 and
other long-term growth opportunities.
This information is provided by RNS
The company news service from the London Stock Exchange