Skanska UK has been awarded an eight-year contract, in partnership with Morrison Utility Services, to help deliver National Grid's gas mains replacement programme and associated activities in the UK. The total amount of the contract is £1.6 billion (approx. €1.9 billion), about SEK 17.7 billion (approx. €2 billion). Skanska's share amounts to £800 million, about SEK 8.6 billion (approx. €0.9 billion), out of which £200 million (approx. €246 million), about SEK 2.1 billion (approx. €0.2 billion) will be booked in the fourth quarter 2012.
The joint team will be responsible for two of four regional areas in England: the East of England and North London. The contract includes pipe replacement, connections, diversions, reinforcements, other capital asset replacement activities and resource provision.
Work is scheduled to start 1 April 2013 and end 31 March 2021.
Skanska UK reported revenues of approximately SEK 12.7 billion (approx. €1.4 billion) in 2011, with about 4,200 employees. The company is active in building and civil construction, utilities and building services. In the UK, Skanska is also a leader in Public Private Partnerships, PPPs, also known as Privately Financed Initiatives, PFIs. Skanska has also initiated the development of homes for the UK market.