Success in major project – Strabag modernizes railway in Croatia

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In the tender for the Peljesac Bridge, which connects southern Dalmatia to the rest of the country and was recently opened to traffic, Strabag was beaten by a Chinese competitor. But now the Austrian construction group has won a major railway project in Croatia. The contract for the modernization of the 44 km stretch between Hrvatski Leskovac and Karlovac has an investment value of HRK 1.7 billion (approximately EUR 226.2 million).

The contract between Croatian Railways and a consortium comprising Croatian subsidiary Strabag, Strabag AG and Strabag Rail as, was signed at the end of July, Croatian media reported. The construction workers must start within a month and a half and be ready in 30 months. After that, the trains can travel at a speed of up to 160 kilometers per hour on the route.

Project largely co-financed from the EU pot
Strabag will reconstruct the existing track on the 44-kilometre-long route and build a second track. To this end, several stations and stops along the route will be rebuilt and some level crossings will be replaced by over/underpasses. The project also includes the modernization of signaling and telecommunications facilities, which will be carried out by Czech AŽD Praha. The total value of the investment is 2.7 billion kuna (some EUR 360 million), of which 85 percent will be co-financed from the EU fund.

A total of 15 applicants responded to the tender for the construction works, which took place in July 2020. The award of the contract was delayed due to various complaints, and it took until July of this year for the contract to finally Strabag be awarded, according to the media. the Strabag reportedly made the second lowest bid, but was awarded the contract because China Railway Eryuan Engineering’s highest bid of 1.28 billion kuna was deemed unrealistic.

Source: Krone

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