Transurban has announced that it has reached an agreement with the Virginia Department of Transportation (VDOT) on a development framework to progress the 495 Northern Extension project, representing an investment of approximately US$1 billion by Transurban in the Greater Washington Area.

The project primarily involves an extension of the 495 Express Lanes, operated by Transurban under a 75-year concession, for 3.2km toward the Maryland border. Transurban will construct four general purpose lanes and two new Express Lanes in each direction of the Capital Beltway starting from the current terminus near the Dulles Access Road and ending at the American Legion Bridge with no public funding.

The company will also deliver a new, reversible ramp connecting the existing 95 Express Lanes at Opitz Boulevard. Transurban will be responsible for the design, construction, maintenance, and all associated costs.

In addition, Transurban will construct a new southbound Occoquan auxiliary lane on Interstate 95 in Woodbridge to address the traffic bottleneck at the Occoquan Bridge. The Occoquan Auxiliary Lane will connect the southbound Route 123 ramp onto I-95 with the off-ramp at westbound Prince William Parkway. VDOT and Transurban have agreed the improvements will not require any compensation payment to Transurban.

VDOT is advancing required environmental studies to support these projects, and the partners will commence extensive engagement with the community and local stakeholders as they develop more detailed design plans. While the timeline for delivery of the improvements will continue to be refined, construction could begin as early as 2020.

In addition, VDOT and Transurban has finalised proposals for the Fredericksburg Extension, a 10-mile extension of the 95 Express Lanes to Fredericksburg. First announced in January 2018, the project is now on track for commercial close this spring.

In addition to the existing three general purpose lanes, the extension will provide two reversible Express Lanes of new capacity, which will be available at no charge to HOV 3+ and transit riders. The project is expected to increase capacity on this section of I-95 by 66 percent during peak periods. Construction is planned to begin later this year with the facility opening to traffic in the fall of 2022.

Transurban expects to achieve financial close in 2021.