Costain Group secures contract with Network Rail for works in UK

UK engineering services provider Costain Group secured a contract with Network Rail for projects in the north west, the company said Wednesday.

The £48m contract is for phase three of the west coast power supply upgrade.

The works in the north west of England will safely support more frequent services and longer trains that are planned for the West Coast Mainline.

Start your trial of MoneyWeek today

Get unparalleled financial insight, analysis and expert opinion you can profit from.

Start your trial

Sign up for MoneyWeek’s free twice-daily newsletter.

Join more than 165,000 subscribers and keep yourself informed with latest financial news, insights and expert analysis to help you understand what really matters when it comes to your finances.

Join more than 165,000 subscribers and keep yourself informed with latest financial news, insights and expert analysis to help you understand what really matters when it comes to your finances.

Sign up

It is part of a Network Rail's £300m investment in power upgrades and its £9.4bn investment in electrifying British railways.

"The award of this contract provides further demonstration of Costain's position as a major player in the rail sector, delivering integrated services for complex and large scale infrastructure projects which are vital to the UK economy," Chief Executive Andrew Wyllie said.

The project will be delivered by ABC Electrification, a joint venture between Costain, Alstom an Babcock.

Work will begin early this year and is expected to complete by 2016.

Shares jumped 2.6% to 262.75p at 8:42 Wednesday.

RD