Construction giant Balfour Beatty has been selected by airport operator BAA to provide construction services for a new development plan at Heathrow Airport in London.

The eastern campus development programme is expected to cost £750m and will serve to realign the taxiways and provide new aircraft stands to the east of Terminals 1 and 2.

The work will include the Heathrow east satellite project and part of the underground connectivity scheme that will link the satellite to the other terminals.

The company is currently working on the design, management and construction of the first phase of the Heathrow east satellite project, which is scheduled for completion in late 2009.

The contract is part of a ten-year framework agreement between Balfour Beatty and BAA to assist in delivering a £6.6bn capital programme that covers these projects and smaller ones, including alterations and refurbishment at other airports in England and Scotland.

The programme represents a large investment for the construction sector currently suffering from a squeeze in funds due to the global economic downturn.

By staff writer.