Peab has received a Skr831m ($87.5m) contract from Hitachi Energy to construct a new plant for large power transformers and shunt reactors in Ludvika, Sweden.
The project represents an expansion of Hitachi Energy’s existing operations and is set to integrate with its current production facility.
The new 20,400m² plant will include a factory, offices, and locker rooms, and is designed to support sustainable and innovative manufacturing technology.
Peab’s contract follows phase one, which involved collaboration with Hitachi Energy to optimise the project, ensuring quality and managing risks.
With the project now entering phase two, Peab will begin the turnkey construction in partnership with a contract signing.
Construction work is scheduled to start this month and completion is expected by August 2027.
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By GlobalDataThe project will be officially registered in the second quarter of 2025.
Peab construction business area manager Stefan Danielsson said: “We’re very proud to be part of Hitachi Energy’s important work in shaping tomorrow’s energy solutions. The plant in Ludvika is a unique project where Peab will be able to contribute a great deal through our expertise and perspective as the Nordic Community Builder.”
Hitachi Energy Power Transformers plant manager Thomas Wennberg said: “This is the single largest investment at Hitachi Energy in Sweden, which we’re now going to realise, and it has been essential to find the right construction partner. We’re therefore very pleased that Peab will be building our new, ultra-modern plant together with us.”
This development follows Peab’s contract win in April to build a combined heat and power (CHP) plant for Kraftringen Energi in Örtofta, Sweden.
