Skanska - Black & Veatch Awarded £219m DIO Contract

The Defence Infrastructure Organisation (DIO), the Ministry of Defence's estate services arm, has awarded a £219 million construction and supporting infrastructure contract to a new joint venture between Skanska and Black & Veatch.

The work is taking place as part of the US Air Force European Infrastructure Consolidation (EIC) works for the US military based at RAF Molesworth, in Cambridgeshire.

The project will see the Skanska - Black & Veatch team develop a new two-storey military facility along with supporting infrastructure and a warehouse. Design work is due to begin immediately, with construction on site planned to commence in the spring of 2024. The whole project is due to complete by the summer of 2028.

The award builds on Skanska's track record of successfully delivering a range of major defence projects in the UK for over two decades. These include everything from major construction schemes to facilities management in critical establishments. Skanska led the redevelopment of Worthy Down in Hampshire between 2014 and 2022 and is currently managing another major project at the Vehicle Storage and Support Programme in Gloucestershire.


David Brewer, DIO's Chief Operating Officer, said: "This contract award marks the latest stage of an ongoing and important relationship between DIO and our NATO partners and allies, the USA. We look forward to working hard with our suppliers to deliver an impressive facility for the U.S. Air Force."

Skanska Executive Vice President, Adam McDonald, said: "We're very excited to be delivering this project as we continue to support DIO and their partners in the U.S. Air Force and NATO. We have long-standing experience of delivering complex projects in the defence sector, which means we can hit the ground running when we move on to this site. Our expertise allows us to deliver innovative, sustainable solutions that lead to a great end product for our customers.

"This effort focuses on both sustainability and resiliency, two key aspects of advancing DIO's efforts," said Rick Kaiser, President of Black & Veatch's Federal Segment.

"Our experience and track record working with US and other government clients allows us to understand their goals and deliver the infrastructure needed to advance those goals."