Bechtel expects extra funds for Transilvania highway

The works at the Transilvania highway project will require at least €800 million in the coming two years. The funds will have to be allocated to the constructor, Bechtel, one of the world's premier engineering, construction, and project management companies, according to the amendment at the Construction Agreement signed between the U.S.-based company and the Romanian government Sources from the Ministry of Transportation said it is likely that unexpected costs, which could exceed €1 million, should be considered, since the state could pay 60 percent more for each built kilometer. 

The fact that the contract has been renegotiated and works were stopped for one year also contributed to a delay in finalizing the project. 

"If the minimum budget was €120.5 million in 2007 (E.n. - the amount has already reached €185 million), €442 million worth of funds are allocated for 2008, and the minimum 2009 budget will increase up to €319.6 million,” said the Communication Manager of Bechtel, Bogdan Sgarcitu. He added the final price of the highway cannot be calculated before design works are completed. The sources from the Ministry of Transportation estimate the cost of building the highway will exceed €4 billion by 2013, when it is expected to be finalized. Transilvania highway is one of the largest infrastructure projects in Europe at the moment.

Bechtel registered €1.5 billion in net sales worldwide in 2006, and the value of its new projects soared to €1.8 billion. So far, the company has developed 22,000 projects in 140 countries. Its main projects in Europe are located in Great Britain, Romania, and Albania.