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Downer’s (ASX:DOW) Link Alliance wins A$770M contracts for Auckland’s City Rail Link

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ASX:DOW      MCAP $3.109B
21 October 2020 04:00 (AEST)

Part of the City Rail Link. Source: Aurecon

Downer EDI (DOW) has announced the Link Alliance has won two contracts, worth NZ$825 million (approx A$770 million) for Auckland’s City Rail Link Project (CRL).

CRL is a NZ$4.4 billion (around A$4.1 billion) project, which consists of constructing a 3.5-kilometre long double-track rail tunnel underneath Auckland’s city centre.

The Link Alliance is a consortium that includes Downer New Zealand, Soletanche Bachy International, Vinci Construction Grands Projets, AECOM, Tonkin + Taylor, and WSP.

The contracts, C5 and C7, are variations to the existing C3 tunnels and stations contracts.

The existing C3 contract involves the construction of two new underground railway stations, located near Aotea Square and Karangahape road in Auckland central, the redevelopment of the railway station at Mount Eden and the tunnels connecting them.

The two new stations will be able to carry nine-car trains to meet the needs of a growing city.

The C5 contract includes track alignment and extending and rebuilding the existing Mt Eden station platform, which includes footbridges.

While the C7 contract includes track installation, overhead line, signalling, control systems, communication systems and more.

Downer CEO, Grant Fenn, said the Link Alliance is helping to deliver the City Rail Link Project under a cost-reimbursable alliance contract model.

“Downer has been working on this landmark project since April 2015 and we will continue to work closely with our joint venture partners and City Rail Link Limited to complete these additional packages and deliver improved connections across Auckland,” he said.

Downer ended the day down 1.64 per cent at $4.81.

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