NRC Group ASA - Appointed to a major contract in Finland – EUR 220 million
The City of Espoo has today approved the appointment of NRC Group Finland (“NRC”) and YIT, the largest Finnish construction company, to a contract for the construction of the Jokeri Light Rail line. The City of Helsinki has previously granted their project approval and there are no more political approvals necessary for the final appointment of NRC and YIT.
The contract value for NRC is approximately EUR 220 million and will upon final confirmation become the largest contract awarded to the Group to date. The estimated contract value includes design and construction work. According to the preliminary project schedule, track construction is planned to commence in June 2019 and the project is scheduled for completion in June 2024.
The Jokeri Light Rail is a fast light railway connection between Itäkeskus in Helsinki and Keilaniemi in Espoo and will enable faster and more reliable cross-city public transport and increased passenger comfort. It will also create opportunities for new residential construction alongside a modern light railway line. The greater Helsinki region is estimated to be the home of approximately two million residents and provide over one million jobs in 2050. The Jokeri Light Rail will support the regional goal of steering the increased mobility resulting from the population growth into sustainable modes of transport.
The Jokeri Light Rail project will be executed under the alliance model. This implies that the client organization formed by the cities of Helsinki and Espoo is combined into one organization together with the contractors NRC and YIT, and the consulting companies Ramboll Finland Oy, Sitowise Oy and NRC Group Finland Oy. NRC and YIT will construct the track together, sharing the risks and benefits related to the project implementation.
NRC has been involved in all five rail transport related alliance projects in Finland, including Tampere tramway, which is the largest ongoing alliance project, and the renovation of the Lielahti – Kokemäki railway, the first public infrastructure alliance project in Europe.
“We are very proud to be an alliance partner for the construction of the Jokeri Light Rail line, reflecting several years of hard work by NRC Group Finland. For us it is a record project in terms of size and scope and a confirmation of the position we have built as the leading Nordic rail infrastructure company,” said Øivind Horpestad, the CEO of NRC Group.
The formal contractual signing of the alliance contract is expected to take place on or about 22 May 2019, however, subject to no political or valid legal objections being raised prior to such date. At present, NRC Group do not expect any such objections to be raised.
For further information, please contact:
- Øivind Horpestad, Chief Executive Officer, NRC Group ASA on tel: +47 91 00 06 26.
- Harri Lukkarinen, Managing Director, NRC Finland on tel: + 35 840 86 61 714.
This information is subject of the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act.
About NRC Group
NRC Group is the largest rail infrastructure entrepreneur in the Nordic region, with strong presence in Norway, Sweden and Finland. The company is a turnkey supplier of all rail related services, in addition to providing services to any transport related infrastructure such as roads, harbours, bridges and tunnels. The services include design, groundwork, trackwork, safety, electro, telecom and signalling systems, and environmental services such as decommissioning and reclamation.
NRC Group has experienced significant growth since its inception in 2011 and is today the leading entrepreneur within rail infrastructure in the Nordics. The company has regional offices throughout Norway, Sweden and Finland and is headquartered at Lysaker, nearby Oslo, In Norway. The group has a revenue of approximately NOK 6 billion and approximately 2,450 employees. NRC Group is listed on the Oslo Stock Exchange under ticker “NRC”. The company’s chief executive officer is Øivind Horpestad.
For further information, visit www.nrcgroup.com.