Carillion - Mixed-Use Development - London, £363m East London Line Contract Awarded

Date: 23 Oct 2006

Support services and construction company Carillion plc was today, in joint venture with Balfour Beatty, awarded the £363 million contract to create the new East London rail line between Dalston Junction in the North and West Croydon in the South, by Transport for London (TFL).

The project, which is the first of two phases, will extend the existing East London Line to Dalston Junction in the North and New Cross Crystal Palace and West Croydon in the South. It is scheduled for completion in late 2010. Construction works will begin in early 2007. Some additional work, not covered by the base contract for Phase1 could be commissioned from the joint venture over the next few months.

Commenting, Carillion Chief Executive John McDonough said, "We are delighted to have been selected for this project, which is the cornerstone of Transport for London and the Mayor's £10 billion investment programme to give London a 21st century transport system. Carillion's ability to combine its wide range of capabilities and strong project management skills to provide complex integrated solutions is a key strength and we look forward to working with Transport for London to deliver this major component of London's transport infrastructure."

Phase 2 of the project will further extend the line west to Clapham Junction and connect the North London Line stations at Canonbury and Highbury & Islington.

Proposals to build the new line helped to underpin London's successful bid for the 2012 Olympic Games. The project will not only play a major role in transporting people to and from the 2012 Olympic Games, but also trigger substantial development and regeneration initiatives in some of London's most deprived boroughs.

The contract will involve railway works including track, signalling, telecommunications and electrification, and major civil engineering works including the construction of two large new bridges, new stations and a new depot at New Cross Gate.

Carillion and Balfour Beatty are market leaders in the provision of training in the construction sector and are uniquely placed to deliver TFL's requirements for equality, inclusion and diversity through the employment and training of local people.

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