- The Victorian Government taps CIMIC Group as the preferred proponent to deliver the North East Link Primary Package in Melbourne
- Several companies under CIMIC’s umbrella, including Pacific Partnerships, CPB Contractors and Ventia have been chosen for the public-private partnership
- The project will deliver three-lane twin tunnels to close the missing link in Melbourne’s freeway network and will be used by 135 ,000 motorists daily
- CIM expects to pocket $4 billion in revenue across the project’s construction and operations phase, which is slated to run to 2051
- CIMIC Group shares closed at $20 apiece on June 24
The Victorian Government has selected CIMIC Group (CIM) as the preferred proponent to deliver the North East Link Primary Package in Melbourne.
Several companies under CIMIC’s umbrella, including Pacific Partnerships, CPB Contractors and Ventia — alongside other members of the Spark consortium — have been chosen for the public-private partnership (PPP).
The project is set to deliver three-lane twin tunnels that will close the missing link in Melbourne’s freeway network.
According to CIM, up to 135,000 vehicles will use the link every day, thereby reducing congestion in the north-east, while maintaining local roads for nearby trips.
Subject to contract execution later this year, CIMIC is expecting to pocket roughly $4 billion in revenue across the project’s construction and operations phase, with operations planned to run until 2051.
CIMIC Group Chairman and CEO Juan Santamaria said the company was pleased to be a part of what is an important project for Victorians.
“CIMIC Group’s role extends from end to end — from development to delivery and long-term asset management — in the biggest road transport project in Victoria’s history,” he said.
Additional members of the Spark consortium include WeBuild, GS Engineering and Construction, China Construction Oceania, Capella Capital, John Laing Investments and DIF.
The North East Link Primary Package is Australia’s first PPP contract procured through a collaborative model.
CIMIC Group shares were trading at $20 each at market close on June 24