Further large order for STRABAG SE subsidiary in Algeria

Vienna, 28 May 2008 A German-Algerian-Italian bidding consortium led by the STRABAG SE subsidiary DYWIDAG International GmbH has been awarded the tender to build the second extension of the Algiers Metro line 1. The order has a total volume of € 252 million and comprises a total length of 4 km, which includes one 2.7 km tunnel, four stations, one bridge over a motorway and one river crossing. The tunnel bore will be made using NATM (New Austrian Tunnelling Method). The construction time has been scheduled for 32 months and work has already begun.

The order represents a follow-up order – DYWIDAG already participated in a bidding consortium in 2003 to build the first extension of the line. That project had a total volume of € 188 million (DYWIDAG’s share 51%).

DYWIDAG International GmbH has decades of experience on the Algerian market and in 2005 opened a permanent office in Algiers.

Due to Algeria’s extensive oil and gas reserves, the capital of Algiers continues to boom. This brings with it a constant growth in the volume of traffic. The metro is to help improve the mobility of the population and slow down the increasing air pollution. First plans for the 55 km metropolitan railway network were made in 1981. However, the project was initially hampered by lower state income due to the low oil price in the early 1980s, the domestic political situation in the 1990s and the difficult geological conditions. With new funds from an extensive investment programme, the Algerian government is now able to realise the construction of the Algiers Metro.

NATM (New Austrian Tunnelling Method): for the most part, the geological conditions determine whether a tunnel is built using a tunnel boring machine (TBM) or by applying the New Austrian Tunnelling Method (NATM). Given uniform geological conditions within a tunnel, a TBM is used. If the section features varying geological conditions, however, NATM can yield a more flexible approach to the different support and mobilization requirements. A further criterion is the length of the tunnel segment – if a section is long, a TBM is often the better choice; if the section to be bored is relatively short, then the higher flexibility of NATM is an advantage. In NATM, the tunnel is secured using shotcrete and steel ribs immediately after face advance. This creates a supporting structure together with the surrounding rock. The relatively short tunnel segments and the varying geological conditions in Algiers led to the decision to use NATM for the tunnelling work.

STRABAG SE is one of Europe’s leading construction groups. With nearly 60,000 employees, STRABAG expects to post revenue from construction work of around EUR 11 billion in the financial year 2007. From its core markets of Austria and Germany, STRABAG is present via its numerous subsidiaries in all countries of Eastern and South-East Europe, in selected markets in Western Europe and the Arabian Peninsula, as well as in Canada, Chile and India. STRABAG’s activities span the entire construction industry (Building Construction and Civil Engineering, Road Construction, Tunnelling) and cover the entire value-added chain in the field of construction. More information is available at www.strabag.com.