News Releases
£60 Million Of New PFI Contracting Work For Balfour Beatty
28 Jul 2003Balfour Beatty, the international engineering, construction and services group, announces today that a joint venture between Balfour Beatty Construction and Balfour Kilpatrick has been awarded two contracts with a total value of over £60 million to work as a contractor on behalf of two special purpose companies for PFI schemes.
The joint venture has been awarded the £44.5 million design and build contract for new schools in Halifax, West Yorkshire for Calderdale Metropolitan Borough Council. The new schools are being developed by Babcock and Brown Properties under a PFI contract. The scheme comprises the construction of four new secondary schools and one new primary school, all to be built on the site of existing schools.
The other project is the £16 million West Park PFI Mental Health Hospital contract for the County Durham and Darlington Priority Services NHS Trust. The new hospital is being developed by Mill Group under a PFI contract. Sandy Taylor, Chief Executive of County Durham and Darlington Priority Services NHS Trust, said: “This development will put us at the forefront of care. Environment and design are central in the treatment of people with mental health problems and the new hospital will provide the perfect surroundings for patients, their families and staff.”
Commenting on these latest awards, Mike Welton, Balfour Beatty Chief Executive said: “These latest contracts confirm the market’s confidence in our ability to deliver PFI projects in a range of sectors. We are delighted to be working with Calderdale Metropolitan Borough Council and County Durham and Darlington Priority Services NHS Trust to build these additional facilities which will offer substantial benefits to the local community.”
The two jobs are scheduled for completion in autumn 2005 and autumn 2004 respectively.
ENDS
Enquiries to:
Tim Sharp
Tel: +44 (0)20 7216 6800
Notes to Editors
Balfour Beatty already has four concessions in the healthcare sector, the Edinburgh Royal Infirmary, North Durham and Blackburn Hospitals, through Consort Healthcare, and the University College London Hospital through HMU. The total construction value of these four projects is approaching £650 million. Balfour Beatty’s equity contribution to these hospital projects is around £30 million.
In the education sector, Balfour Beatty recently reached financial close on a £100 million PFI schools project for the Metropolitan Borough of Rotherham. This is in addition to the £153 million Stoke Schools contract, the largest grouped schools project in England, under which the company is building nine new schools and progressively refurbishing the remainder of the entire 122 schools estate.
Through the Babcock and Brown consortium, Balfour Beatty Construction is also the design and build partner for three major school developments with a combined construction value of over £81 million.
Full details of Balfour Beatty’s involvement in PPP/PFI are available on www.balfourbeattyppp.com.
