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Skanska awarded utilities maintenance contract in UK, worth GBP 800 M, about SEK 8.6 billion

12/19/2012 8:45 AM CET
Press release

Skanska UK has been awarded an eight-year contract, in partnership with Morrison Utility Services, to help deliver National Grid's gas mains replacement programme and associated activities in the UK. The total amount of the contract is GBP 1.6 billion, about SEK 17.7 billion. Skanska’s share amounts to GBP 800 M, about SEK 8.6 billion, out of which GBP 200 M, about SEK 2.1 billion will be booked in the fourth quarter 2012.

The joint team will be responsible for two of four regional areas in England: the East of England and North London. The contract includes pipe replacement, connections, diversions, reinforcements, other capital asset replacement activities and resource provision.

Work is scheduled to start 1 April 2013 and end 31 March 2021.

Skanska UK reported revenues of approximately SEK 12.7 billion in 2011, with about 4,200 employees. The company is active in building and civil construction, utilities and building services. In the UK, Skanska is also a leader in Public Private Partnerships, PPPs, also known as Privately Financed Initiatives, PFIs. Skanska has also initiated the development of homes for the UK market.