French firm Alstom will install its Atlas signalling solution on Spain's 20km Castellbisbal-Can Tunis rail section, part of the line linking Spain to France.
The €16.5m ($22.4m) contract for the Level 1 Atlas 100 ERTMS system has been awarded by Spanish rail network operator Administrador de Infraestructuras Ferroviarias (ADIF).
The solution includes a Smartlock electronic interlocking system and communications system and is expected to improve the line's interoperability, safety and travel time for better cross-border transport with France.
ADIF plans to modernise the freight corridor between France, Figueres-Perpignan and the port of Barcelona.
ADIF will also equip the Castellbisbal-Can Tunis rail section with a third rail to create a dual-gauge track for allowing trains to operate in both countries without changing rails.