CIMIC Group’s Australia-based subsidiary UGL has secured two rail sector contracts worth more than $180m in New South Wales (NSW) and South Australia.

As part of a consortium, UGL has won a contract to operate and maintain Adelaide’s North-South tram and bus network.

The company will carry out operations and maintenance on the Adelaide trams networks for eight years commencing in July.

The other consortium partners include Transit Systems and John Holland.

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UGL was also awarded a contract to build new locomotives for Qube Logistics for a span of 18 months. The new locomotives are scheduled to be manufactured in Newcastle, NSW.

CIMIC Group chief executive officer Juan Santamaria said: “Our selection by the Department of Planning, Transport and Infrastructure to operate and maintain Adelaide’s trams is testament to UGL’s expertise and experience in the heavy and light rail industry and our ability to deliver safe and reliable transportation for the travelling public.

“UGL’s long history of manufacturing is key to our success in Newcastle. We’re proud that UGL has had a presence in NSW for more than 120 years, including a strong presence in Newcastle.”

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UGL managing director Jason Spears said: “UGL has a reputation for the manufacture, operations and maintenance of heavy and light rail across Australia. These contracts extend our light rail capability alongside our Adelaide heavy rail presence and commence our relationship with Qube Logistics.

“UGL has a strong reputation for quality and safety and we look forward to exhibiting that through these manufacturing, maintenance and operations contracts.”