Alun Griffiths (Construction) has been selected to develop a new road infrastructure project in Herefordshire.
The contractor will begin building the City Link Road (CLR) in Hereford city centre in July.
The 15-month project aims to create the infrastructure needed to support 800 new homes which are due to be built on the old Edgar Street grid site.
Five tenders were submitted for the contract, with Griffiths being selected by the council and its agent Balfour Beatty Living Places.
Councillor Philip Price said: "I am happy to announce that Griffiths have been awarded the contract for the road; they are a local company and it's good for all of us that we are employing a contractor who directly contributes to the local economy through the employment of local people."
Peter Evans, Project Director at Griffiths, added: "Alun Griffiths Contractors Ltd is once again very pleased to be associated with Herefordshire County for the delivery of another prestigious scheme within the city."
(LM)
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