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Slovakia's Transport Ministry and the awarded company Zero Bypass Limited have finally signed the contract for design, finance, build, operate and maintain the Bratislava D4/R7 ring road project.

Zero Bypass Limited is the project company composed of Ferrovial, through its subsidiary Cintra, Australian group Macquarie, and Austrian construction company Porr.

In early March we informed that the Cabinet had already approved signing of the concession agreement to develop the beltway around Bratislava.

Earlier, in February, we also published that the consortium lead by Ferrovial had been chosen by the Slovakia Ministry of Transport as the preferred bidder  to design, build, finance, operate and maintain the beltway around Bratislava, for €1.01 billion (US$1.09 billion). The concession will run for 34 years. 

The European Investment Bank and the European Bank for Reconstruction and Development will contribute to finance the project. According to the concession agreement , which is based on availability payments, the government will pay €56.72 million per year to the preferred bidder.

The project involves the construction of a new 27 km highway (two lanes each way) around Bratislava (D4), creating a beltway to the east of the city and a connection with existing radial roads. The project also involves building the new 32 km R7 radial highway, with two-three lanes each way, running in a south-easterly direction from the city centre. The project will improve traffic conditions and facilitate journeys between countries in the region, which will boost the potential for economic development, job creation and the local supply chain.

Design and construction of the project will be carried out by a joint venture headed by Ferrovial Agroman with construction company Porr. Operation and maintenance will be handled by the concession company. 

Financial closure is expected in the second quarter of 2016, once the public information phase has concluded and commercial closure has been reached.