Through its US subsidiary Flatiron, HOCHTIEF has won new infrastructure construction contracts totalling USD 275.9 million (EUR 205.0 million): The company will expand the Interstate 5 in California and upgrade an industrial facility for oil sands in Alberta, Canada. Both projects originate from the North American infrastructure market where HOCHTIEF sees great potential. With revenue of around one billion US dollars (2011), Flatiron is one of that continent’s leading providers of energy and transportation infrastructure.
The Interstate 5 is a major freeway in California. Flatiron has been contracted by the client - the state‘s Department of Transportation - to completely refurbish a two-mile section close to the city of Norwalk in California with ten lanes, and also build five bridges and a pedestrian overpass. The contract has a total volume of approximately USD 74.5 million (EUR 55.4 million). Work has already begun and will take around four years. Meanwhile in Alberta, Canada, the company will be extending an industrial facility for the extraction of oil, northwest of the town of Fort McMurray. The contract, worth USD 72.0 million (EUR 52.7 million), involves constructing two underground tunnels, renewing the subsoil, and reinforcing the foundations. New tanks will also be built on the stabilized foundations. The facility is due to be completed by 2014.
"Infrastructure projects are a profitable business for HOCHTIEF," emphasized Marcelino Fernández Verdes, the CEO of HOCHTIEF. "With our subsidiaries we are globally well-placed in this market and want to continue growing there in future."
Furthermore, Flatiron won 21 additional contracts totaling USD 129.4 million (EUR 96.1 million), including works on bridges and highways as well as water and electrical projects.