Aecon consortium closes financing for $475m highway expansion project in Canada

WCN Editorial Team 30 Apr 2019 NORTH AMERICA TRANSPORT INFRASTRUCTURE

Canadian construction giant Aecon-led consortium, named West Corridor Constructors, has reached financial close on the expansion project of Highway 401 within the western part of the Greater Toronto Area, Canada.

The consortium is responsible for designing, building and financing the C$639.8m ($475m) Highway 401 expansion project for Infrastructure Ontario (IO) and the Ministry of Transportation Ontario (MTO).

The consortium, which comprises Aecon with 50% stake, Parsons with 30% interest and Amico with 20% stake, plans to commence construction on the expansion project in the fourth quarter of 2019.

Scheduled to be completed in the fourth quarter of 2022, the Highway 401 Expansion project involves approximately 18km reconstruction and widening of highway from the Credit River in Mississauga to Regional Road 25 in Milton.

Expected to reduced traffic congestion and allow for more efficient transportation, the project involves construction of two 10-lane segments, two 12-lane core collector systems and median High Occupancy Vehicle (HOV) lanes.

It also includes bridge reconstruction and replacement, structural culvert replacements, drainage and utilities work, as well as ecological restoration.

Aecon Group president and CEO Jean-Louis Servranckx said: “Along with our partners, Parsons and Amico, we are pleased to work with Infrastructure Ontario and the Ministry of Transportation to deliver this significant project which will ultimately reduce traffic congestion and improve quality of life for commuters along the GTA corridor.”

Parsons Construction president Donald Graul said: “Alternative project delivery vehicles help customers mitigate risk in capital improvement programs.

“This important project will improve mobility for both commuters and cargo in a commercially significant corridor."

Last year, a joint venture between Aecon (40%) and American heavy civil construction company Traylor Bros (60%) has won a $267m contract from Metro Vancouver (Greater Vancouver Water District) for the Second Narrows Water Supply Tunnel project in British Columbia, Canada.

The tunnel is planned to be constructed under the Burrard Inlet, east of Iron Workers Memorial Bridge between the Metro Vancouver works yard in the District of North Vancouver and Montrose Park in the City of Burnaby.

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Image: The Highway 401 in Windsor, Greater Toronto Area. Photo: courtesy of Haljackey/Wikipedia.

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