Skanska Constructing $258 Million Palisades Tunnel for New Jersey Transit
Stockholm-based Skanska (STO:SKAB) will earn $52 million or 20 percent of the $258 million Palisades Tunnel it is constructing for the New Jersey Transit. The project has a December 2013 completion date.
Skanska's design/build contract relates to the Palisades Tunnel, which is part of the new Trans-Hudson Express Project (THE Project). With the construction of THE Project, NJ Transit will double its rail capacity between New Jersey and New York, according to Skanska's prepared statement.
Palisades Tunnel comprises twin tunnels each about 1,600 meters long that will be open-cut and bored using a TBM (tunnel boring machine).
The finished internal diameter of the tunnels will be approximately 7.2 meters. A large shaft measuring about 36 meters in diameter and six tunnel cross passages also form part of the project.
The project is being performed by Skanska USA Civil as part of a consortium that also includes Schiavone and Shea, which have shares of 50 percent and 30 percent, respectively.
In New York, Skanska is also extending the subway line's 7th Avenue line and 2nd Avenue line with the same partners.
Headquartered in New York, Skanska USA has about 7,000 employees and its 2009 revenues were SEK 44 billion.
The parent company, based in Sweden and listed on the Stockholm Stock Exchange, posted sales in 2009 totaling SEK 137 billion.