Balfour Beatty, the international infrastructure group, announced today that Gammon Construction, a leading Hong Kong construction company that is 50% owned by Balfour Beatty, has been awarded a HK$ 3.4 billion (equivalent to £270 million) contract to work on a major section of the new Shatin to Central Link in a joint venture with Kaden Construction.

The contract, which has been awarded by the MTR Corporation Limited, includes the construction of two running tunnels covering 1km of track connecting the existing East Rail Line to the Hung Hom Station and the Hung Hom Station to the future Ho Man Tin Station.

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Balfour Beatty Chief Executive, Ian Tyler, said: "This is another significant contract award by the Hong Kong MTR Corporation. Not only is it a testament to the strength of the relationship with this valued customer, but also demonstrates the value that our partners put on the experience and expertise we have in delivering major transport projects around the world.

"One of our key strategic sectors is transportation and this activity in Hong Kong builds on our strengthening global experience in rail."

Work is due to start this month and will be completed in 2018.

(CD)