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SNC-Lavalin/Cintra awarded billion-dollar bid for 407 East Highway Project

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May 23, 2012 by Andrew Snook

The 407 East Development Group General Partnership (the Partnership), a 50/50 joint venture between SNC-Lavalin and Cintra Infraestructuras’ respective subsidiaries, has been awarded a contract by the Province of Ontario to design, build, finance and maintain Phase 1 of the new Highway 407 East, valued at approximately $1 billion.

The Montreal-based engineering and construction firm state that the project will be delivered using Ontario’s alternative financing and procurement (AFP) delivery model.

Phase 1 will create a 22-kilometre extension of the highway east from Brock Road in Pickering, Ont., to Harmony Road in Oshawa, Ont., as well as a 10-kilometre north-south highway, east of Lake Ridge Road, that will connect Highway 407 East to Highway 401.

The project’s design and build portion is expected to take approximately three and a half years to complete.

The Partnership also entered into a contract to maintain and rehabilitate the road for the next 30 years and has signed a fixed-price contract with a 50/50 consortium composed of SNC-Lavalin Operations and Maintenance and Cintra for the road’s maintenance and rehabilitation over the concession period.