Morgan Sindall’s infrastructure services business Morgan Est has been awarded a ten-year framework contract by Severn Trent, covering the next two Asset Management Periods, AMP5 and AMP6.
Worth an estimated £500 million, the value of the contract is a significant increase on the corresponding contract award for the current Asset Management Period, AMP4, which was worth approximately £80 million.
The contract is one of 11 awarded by Severn Trent and is for a co-located, integrated design and build model. AMP5 commences on 1 April 2010 and runs for a five-year period. Morgan Est will carry out improvement work to clean water and waste water pipelines within the southern area of Severn Trent’s region. Design work will start one year early in line with Severn Trent’s strategy.
"This is a very important win for our infrastructure services division, building on the strong relationship we have developed with Severn Trent through the last two Asset Management Periods,” says Morgan Sindall chief executive Paul Smith. “We have a leading position in the water sector and this latest framework win is further evidence of this.
“We expect conditions in the infrastructure services market to remain buoyant throughout 2009 and beyond, and are ideally placed to take advantage of investment in key sectors such as transport, water and energy.”