NCC to construct railroad in Norway for SEK 1.2 billion

NCC Construction Norway has secured an assignment to construct a 4.8-kilometer rail tunnel with accompanying evacuation tunnels between Larvik and Porsgrunn, approximately 150 kilometers southwest of Oslo. The customer is the Norwegian National Rail Administration, Jernbaneverket, and the order is valued at slightly more than SEK 1.2 billion, which will be added to the order book for the second quarter of 2012.

The total tunnel length is 8.8 kilometers, since the evacuation tunnels comprise 4 kilometers.

In this type of complicated tender process, it is common not only to consider the lowest price, but to take into account several parameters when deciding, such as the contractors’ overall expertise and ability to deliver.

“This method of procurement, which involves the evaluation of several variables, such as organization, resources and expertise,is something we welcome and believe benefits all parties,” says Håkon Tjomsland, Regional Director at NCC Construction Norway.

NCC Construction Norway is already involved in several road projects in the Oslo area.

This will be the second tunnel project for NCC Construction Norway as part of the work to improve the rail connection between Oslo and Skien. The first tunnel project was at Lysaker-Sandvika, outside Oslo, and was completed in 2010.

Work is scheduled to commence in August 2012and continue until June 2016.

For further information, please contact:
Terje Stachnik Hansen, Communications Manager NCC Construction Norway, telephone + 47 992 16 785.
Magnus Jonsson, Manager, External Communications, NCC AB, telephone +46(0)8 585 522 46

NCC:s presstelefon 08-585 519 00, e-post: press@ncc.se

This is the type of information that NCC could be obligated to disclose pursuant to the Securities Market Act. The information was issued for publication on  June 22, 2012, at 12.45 CET.

 All NCC’s press releases are available at: www.ncc.se/press.

NCC is one of the leading construction and property development companies in the Nordic region. In 2011, NCC reported sales of SEK 53 billion and had 17,500 employees. NCC Construction Norway constructs housing, offices, roads, civil engineering and other infrastructure in Norway.