Expert in demanding infra projects and road network maintenance
As one of the major infrastructure construction companies in northern Europe, we smoothen traffic flows and ensure that our construction projects are executed safely and sustainably, taking people’s needs into account. We offer our customers comprehensive infrastructure construction services, from road maintenance to specialised contracting, in Finland, Norway, Sweden and the Baltic countries. In addition, we carry out paving in the Danish and Russian markets.
In line with our strategy, we focus on leveraging our strong market position as the provider of infrastructure construction solutions and services in northern Europe. Our target is to grow and become the leading provider of demanding infrastructure solutions in our market area. In paving, we aim at leveraging our strong position in operational efficiency and product development, for example, to our customers’ benefit. In Russia, we focus on paving and special paving in European Russia. In all of our operating countries, our most important customers include the public sector, construction companies, industry and property owners.
Constructing demanding infrastructure
In 2014, we had major infra projects underway, especially in Finland: three West Metro stations, the Kivisydän underground parking facility in Oulu, in northern Finland, as well as the Turvesolmu graded interchange in Espoo, in the Helsinki metropolitan area. Towards the end of 2013, we started working on a major project, the Rantaväylä tunnel in Tampere, in central Finland; that project will continue until the end of 2017.
In Oulu, the excavation and reinforcement work of the approximately 900-space Kivisydän parking facility continued throughout the year and was completed at the beginning of 2015. In addition, we started the construction of the parking facility interior in the summer of 2014. Kivisydän is a turnkey project management contract. In this type of contract the construction company is responsible for both design and construction. We started the earthworks and foundation construction in 2012. The parking facility will be completed in autumn 2015. In the spring of 2014, INFRA ry, a Finnish infrastructure construction association, awarded Kivisydän the title of the Safest Underground Construction Site of 2013.
In Espoo, we continued the construction of the Turvesolmu graded interchange and the Turveradantie street. The project was started at late 2013 and will continue until the end of 2015. The construction site was elected the Piling Site of the Year 2014, thanks to the excellent organisation and management of piling work as well as the smooth cooperation among different parties.
In Norway, we continued the Tisleifjord contract to renovate an old dam and a power plant. The contract was started in 2013 and will continue until 2015. In the spring of 2014, we completed the excavation contracts for two underground caverns for the zinc melting plant Boliden Odda AS in Norway. We built two caverns for the storage of zinc production waste and carried out the concrete work. We also built transport tunnels and a storage area for mercury.
In Sweden, the new spillage channel for the Bergeforsen hydroelectric power plant was completed in the summer of 2014. Work on the construction site started in 2011 and involved demanding dam arrangements during work and exceptionally large amounts of land mass, for example. In addition, we completed the extensive Sjömalmen mine contract for LKAB in Kiruna towards the end of the year and slightly ahead of the schedule.
In the Baltic countries, in addition to public sector projects during 2014, we gained new kinds of customers in property and industrial foundation engineering. A good example of this is the Rotermann parking facility construction project in Estonia. The project involves digging below the water level and under buildings to construct two underground levels in a tight city centre setting in protected historical surroundings.
Proof of demanding new operating models
Good planning and cooperation in infrastructure construction means quality and cost efficiency. We need new operating models, such as PPP and alliance contracts, for developing the construction industry's efficiency and cooperation.
Our major project in Finland, the Rantaväylä tunnel in Tampere, is being carried out under an alliance contract. The experience during the planning stage was excellent: the cost estimate decreased by more than 10% compared to the traditional way of working. Various projects that we and others have done have shown that the average savings potential in alliance contracting is 10–20%. The principles of alliance contracting were also used in the three-year Helsinki Airport contract for Finavia, completed in 2014.
In Russia, we participate in large-scale PPP projects, such as the Moscow – St Petersburg highway’s construction and development, as a subcontractor or main contractor for paving and special surface works.
Smooth traffic flows
We are one of the largest paving contractors in our market area. In 2014, we manufactured 6.2 million tonnes of asphalt mass.
During the year, we contributed to the maintenance of the road network in each of our operating countries. In Finland, we are a leading paving contractor. We paved and patched roads in extensive areas in Ostrobothnia and Central Finland, for example.
We specialise in paving in challenging locations, such as airports. In Finland, we completed the three-year paving contract for Finavia at Helsinki Airport in 2014. We also replaced the paving of Ivalo Airport. Extensive paving and repair work started in 2013 at Andøya Airport in northern Norway and was completed in late 2014. In addition, our paving projects in 2014 included the paving of two runways at Stavanger Airport within a challenging schedule of nine days.
Near Tallinn, Estonia, we expanded the container terminal at the Muuga harbour. Our contracts also included the renovation of two kilometres of a four-lane motorway between Kurna and Luige. In Lithuania, we were responsible for rebuilding the foundations and paving a 9-kilometre stretch of the 7-metre wide road between Smiltyne and Nida.
In Denmark, we continued for example the paving of the first two phases of the highway to be constructed around the city of Silkeborg, which we started in 2013. In this contract, we developed our spreading methods in order to speed up the work, and we used significant amounts of reclaimed asphalt. The contract was completed in the autumn.
In Russia, our strengths in infrastructure construction include reliability, efficiency and expertise — especially in special surfacing. Mobile asphalt plants, enable us to develop our geographical flexibility in European Russia. In 2014, we repaired streets in St Petersburg’s Moskovsky district, the largest industrial and residential area in the city. Near the City of Moscow, we renovated a 24-kilometre section of the A108 road. A108 is a ring road located approximately 80 kilometres from the centre of Moscow and an important cross-traffic artery for major highways leading out of the city. In addition, we renovated nine bridges on the M2 road. The busy M2 road is one of Russia’s major highways with heavy traffic. Towards the end of the year, we also won a contract for the asphalt work for a bridge that crosses the Oka River on the M4 road.
We are developing our operations
We continued the Group-wide paving development programme, which focuses on implementing best practices and promoting energy efficiency by, for example, increasing the use of low-temperature asphalt and reclaimed asphalt. In Denmark and Finland, the use of reclaimed asphalt is at a good level. In 2014, we significantly increased the production of low-temperature asphalt in Finland. In Norway, the use of reclaimed asphalt was started.
FINAS accreditation service accredited our Central Laboratory in Finland, specialising in infrastructure construction and paving, in July, as the first – and so far the only – laboratory in the asphalt industry in Finland. For the customer, an accreditation is a guarantee that the quality control follows the strict evaluation and monitoring criteria set by the accreditation, and that the work is reliable and independent. In addition to the Finnish laboratories, our Latvian, Lithuanian and Swedish laboratories have been accredited.