Birse and Morrison Construction have been picked by Blackpool Council to carry out redevelopment work on the resort's famous sea front.
The combined value of the work for the two civil engineering contractors, subsidiaries of Balfour Beatty and Galliford Try respectively, is worth up to £20m.
The work has been divided into two lots.
Morrison Construction will deliver enhancements to the Tower festival headland, including parades to the north and south (Lot 1).
Birse will be responsible for the enhancement of the coastal protection works to the north of North Pier (Lot 2).
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