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Mon May 10 2021

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Ferrovial lands $1.8bn Melbourne contract

6 Nov 17 A Ferrovial-led team has been named as the preferred bidder for the AU$1.8bn (£1.05bn) Western Roads Upgrade project in Melbourne, Australia.

The consortium led by Ferrovial subsidiary Cintra will be responsible for the design, construction and financing of the works to upgrade and rehabilitate the suburban road network in the western area of the city.

The Western Roads Upgrade project includes the upgrade and duplication of six suburban arterial roads, the construction of two new interchanges and the rehabilitation and maintenance of the more than 700-lane-kilometres of road network in the west of Melbourne. The concession, which also covers 20 years of maintenance, will be based on availability payments.

Cintra and its partner Plenary will be responsible for the development of the project. WBHO Infrastructure will be in charge of the construction works. In addition, Ferrovial’s subsidiaries Amey and Broadspectrum will be responsible for the maintenance of the network.

Cintra’s appointment by the State of Victoria is through Netflow, a joint venture recently formed with Plenary.

“Being selected as preferred respondent in this project represents an important achievement for Cintra in Australia,” said Enrique Díaz-Rato, Cintra’s CEO. “In addition, it strengthens our relationship with Plenary through the Netflow joint venture.”

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The delivery of the Western Roads Upgrade project will increase capacity on the network and increase driver safety in one of Melbourne’s areas where population growth is expected to increase faster in the coming years.

The 20-year concession term will start from the end of construction, expected for 2020.

Design and construction works will start as soon as financial close has been achieved, which is expected to be in the coming months.

The project is Ferrovial’s second investment in Australia, following the award of the Toowoomba Second Range Crossing in 2015.

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