One of the two partners in the consortium building the Aberdeen city bypass expects “practical completion” of the £745 million-plus project in the summer.
Transport Scotland has said the Aberdeen Western Peripheral Route (AWPR), which has missed the initial spring 2018 target, is likely to open in late autumn.
But a trading update from construction firm Galliford Try yesterday suggested the work may be finished sooner.
The company also revealed it expected to shoulder a further AWPR-linked hit to its finances due to “weather delays” on the massive infrastructure project.
Galliford Try subsidiary Morrison Construction is one of two partners in the Aberdeen Roads consortium, alongside Balfour Beatty, currently building the AWPR.
They were left to complete the job after the collapse of a third partner, Carillion, earlier this year. AWPR costs have ballooned from what Transport Scotland is paying – but taxpayers will not shell out a penny more.
Carillion’s crash came after a string of profit warnings and despite it securing key UK Government contracts.
Last July, it said a large chunk of an £845m write-down was for three UK projects, one of which was understood to be the bypass.
More than £130m was wiped off the value of Galliford Try earlier this year after it unveiled plans to raise £150m of extra capital to help it absorb extra costs of up to £40m it expected to have to fork out on the AWPR.
The group booked an exceptional charge of £25m towards its additional financial commitment in first-half results.
Yesterday, Galliford Try said: “We have experienced some further cost pressure, principally from weather delays, which are likely to increase the exceptional charge in the current year.
“The amount will depend upon progress recovered through the summer and is expected to be lower than the charge (£25m) taken in the first half.”
Reporting “good progress” on the AWPR, with progressive handover of sections of road under way, the company added: “Practical completion of the project is anticipated this summer.”
A Transport Scotland spokesman said: “The Cabinet Secretary for Economy, Jobs and Fair Work confirmed during his statement to parliament on March 22 2018 that an opening date during summer period was considered to be based on somewhat aggressive programming by the contractor, with limited contingency, and that it would be prudent to anticipate the potential for a late autumn 2018 opening date. This remains the case.”
