CTRL will run on time

Delays to the refinancing of the Channel Tunnel Rail Link's consortium London and Continental Railways (LCR) will not delay the start of construction work, LCR told CJ this week.

The consortium's engineering arm Rail Link Engineering did not deny reports last week that LCR's restructuring is delayed but it insisted that construction work will start on time in October.

RLE said that it will announce the first four main civil engineering contracts on Phase 1 of CTRL shortly. These are contracts:

l 330 East Thames (Tarmac/Taywood/R McAlpine/Bachy, Laing, Amec/A McAlpine).

l 350 Medway Crossing (Miller/ Dumez/Monierbau, Nuttall).

l 410 North Downs (Miller/ Dumez/Monierbau, Taywood) and.

l 430 Ashford (Kvaerner, Amec/ A McAlpine).

An RLE spokesman told CJ: "It may well be true that the refinancing is delayed but that will not stop the start of the construction work in October. The new money is not required to finance the start of work".

He added that there were no concerns about how to fund the construction until the refinancing deal is completed. "It is not a worry at the moment. LCR has sufficient funs to finance the construction work until the refinancing deal is completed and we are certain the plans in the memorandum are attractive to investors."

Until the financing deal is complete, LCR will use funds raised through the sale and leaseback of rolling stock. It also plans to issue around £80m of new shares to fund the work.