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Costain Appointed to £288m Magnox Framework Contract

6 September 2012

Magnox has awarded a framework contract worth around £288 million for the delivery of construction, infrastructure and maintenance projects across all 10 sites which are operated by Magnox on behalf of the Nuclear Decommissioning Authority.

The framework is worth approximately £30m per annum for up to ten years: an initial five years with the option to extend for a further five years by mutual agreement amongst the parties. Costain is one of two companies on the framework.

The project work which Costain will deliver includes: the design, construction and maintenance of permanent buildings and structures, infrastructure maintenance and extension works incorporating construction, civil engineering structures and ground works projects.

This framework contract builds on the work Costain is already carrying out for Magnox. In June 2011 the Group announced that, as part of a joint venture with AMEC and Jacobs Engineering Group Inc, it had been included on a framework to retrieve and process both wet and solid intermediate level radioactive waste across all the Magnox sites in the UK.

Andrew Wyllie, Chief Executive of Costain, commented:

“Construction, infrastructure and maintenance will form a major part of the work to deliver Magnox sites into a state of care and maintenance. Inclusion on this framework is testament to our growing reputation for providing specialised engineering solutions to customers and industry sectors which have highly complex requirements.

“The contract award also demonstrates the ongoing success of the implementation of our ‘Choosing Costain’ strategy: providing a broader service offering to blue chip customers who are making significant investment in the UK’s national infrastructure needs.”