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Wed August 17 2022

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Ferrovial and Acciona land $2bn Australian tunnel contract

19 Jul 21 A joint venture of Ferrovial and Acciona has been awarded the first tunnelling contract for the Sydney Metro West project in Australia.

Construction of the contract – which is worth almost AU$2bn - will begin in the next few weeks, and the first of the tunnel-boring machines are expected to be operational by the end of 2022.

The Central Tunnelling Package involves the construction of 11km of twin tunnels for the 24km Sydney Metro West line, which will connect Greater Parramatta with Sydney’s central business district (CBD).

The AU$1.96bn (£1.05bn) contract won by the Acciona Ferrovial Joint Venture (AFJV) involves constructing the tunnels to connect the Bays Station with Sydney Olympic Park Station, which was built for the 2000 Olympics. There will also be excavation and civil works for five new stations and the associated services. Completion of the tunnel is expected in 2025. The joint venture expects to create 1,000 new jobs and an additional 500 trainee positions.

AFJV was awarded the first of the project’s three major tunnelling contracts after a competitive tender process involving three shortlisted companies. The remaining two tenderers John Holland, CPB Contractors & Ghella Australia Joint Venture (JHCPBG JV) and Gamuda & Laing O’Rourke Australia Joint Venture (GALC JV) will now bid for the Western Tunnelling Package, with the successful tenderer awarded a contract to build 9km of twin tunnels between Westmead and Sydney Olympic Park. This second major contract is expected to be awarded by the end of this year.

Sydney Metro has also begun the process to appoint its third major tunnelling contractor for the Eastern Tunnelling. This contract for tunnelling between The Bays and Hunter Street in the Sydney CBD is expected to be awarded by late 2022.

By 2024, Sydney will have 31 metro stations and more than 66 kilometres of new metro rail. By the end of the decade, the network will be expanded to include 46 stations and more than 113km of metro.

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