SNC-Lavalin/Cintra Awarded 407 East Highway Project in Ontario
May 23 2012 - 9:00AM
PR Newswire (Canada)
MONTREAL, May 23, 2012 /CNW Telbec/ - SNC-Lavalin is pleased to
announce that 407 East Development Group General Partnership ("the
Partnership"), a new 50/50 joint venture between SNC-Lavalin and
Cintra Infraestructuras' respective subsidiaries, has been awarded
a contract by the Province of Ontario to design, build, finance,
and maintain Phase 1 of the new Highway 407 East. The project will
be delivered using Ontario's alternative financing and procurement
(AFP) delivery model. The contract is worth approximately $1
billion (net present value). "We are pleased to have been awarded
this very important highway project in Ontario," said Gilles
Laramée, Executive Vice-President and Chief Financial Officer,
SNC-Lavalin Group Inc. "Once completed the highway will allow for a
better and more efficient transportation and flow of goods between
Toronto and eastern Ontario." The 407 East Development Group
General Partnership has entered into a fixed-price contract with
the Province of Ontario for the project. Phase 1 of the new highway
will extend 22 kilometres east from Brock Road in Pickering to
Harmony Road in Oshawa. It also includes a 10-kilometre
north-south highway, east of Lake Ridge Road, connecting Highway
407 East to Highway 401. "With this award, SNC-Lavalin's
capabilities will be put to work on a large and complex
construction project," said Charles Chebl, Executive
Vice-President, SNC-Lavalin Group Inc. "We are committed to the
Ontario market, and look forward to working with our design-build
partner Ferrovial to deliver sustainable transportation
infrastructure to the province." The design and build portion of
the contract is expected to take approximately 3 1/2 years. Once
completed, the Partnership will maintain and rehabilitate the road
for 30 years. The Partnership has entered into a fixed price
contract with a 50/50 consortium made up of SNC-Lavalin Operations
and Maintenance and Cintra for the maintenance and rehabilitation
of the road over the concession period. "We have significant
experience providing operations and maintenance services for roads
across Canada," said Charlie Rate, Executive Vice-President,
SNC-Lavalin Group Inc.," and we look forward to combining our
expertise with that of our partners to provide added value over the
30-year contract." SNC-Lavalin has been present in Ontario
since the 1960s, and now has approximately 5,000 employees in the
province working out of 13 offices. SNC-Lavalin is one of the
leading engineering and construction groups in the world and a
major player in the ownership of infrastructure, and in the
provision of operations and maintenance services. SNC-Lavalin has
offices across Canada and in over 40 other countries around the
world, and is currently working in some 100 countries.
www.snclavalin.com. SNC-LAVALIN CONTACT: Media:Leslie
QuintonVice-President, Global Corporate CommunicationsSNC-Lavalin
Group Inc.514-390-8000, ext.
7354leslie.quinton@snclavalin.comInvestors:Denis Jasmin
Vice-President, Investor RelationsSNC-Lavalin Group
Inc.514-390-8000, ext. 7553denis.jasmin@snclavalin.com
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