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July 4, 2019

UGL secures $442m extension with Sydney Trains

UGL, a subsidiary of CIMIC Group, has secured an A$630m ($441.97m) contract extension with Sydney Trains.

UGL, a subsidiary of CIMIC Group, has secured an A$630m ($441.97m) contract extension with Sydney Trains.

As per the revised contract, UGL will deliver maintenance and logistics services for a portion of Sydney Trains’ metropolitan passenger rail fleet for an additional five years.

Effective from 1 July, the contract replaces the two-year extension announced in January.

The scope of works includes providing heavy maintenance, component rehabilitation works and supply chain capabilities, as well as providing engineering and depot-related support.

UGL managing director Jason Spears said: “This significant contract extension further confirms UGL’s position as a market leader in rail maintenance and asset management, and our reputation for delivering reliable rolling stock asset management and maintenance.”

All services under the contract will be delivered by UGL Unipart, the company’s joint venture (JV) with Unipart Rail UK. The company holds a 70% stake.

The JV will utilise UGL’s asset management and maintenance capabilities to provide maintenance services. It will also leverage Unipart Rail UK’s expertise, which offers technology and supply chain solutions to the rail industry.

CIMIC Group CEO Michael Wright said: “We are very pleased to be extending our long-standing relationship with Sydney Trains and Transport for NSW, building on a partnership that has spanned several decades.

“CIMIC Group, through its various operating companies including UGL, CPB Contractors, Pacific Partnerships and EIC Activities, provides a unique and market leading rail capability to the rail network owners and operators of NSW and beyond. Through this contract extension, UGL will provide value and optimal benefit for the people of New South Wales.”

Owned by Transport for NSW, Sydney Trains is the suburban rail network in the city. Overall, it encompasses 815km of track and 178 stations across nine lines.

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