- John Laing Group has announced that Cross Yarra Partnership has reached agreement with Melbourne Metro Rail Authority for the financial close of the tunnel and stations package as part of the metro tunnel project.

John Laing is joining Cross Yarra Partnership as an investor in the package alongside the other consortium members, Lendlease, John Holland, Bouygues Construction and Capella Capital. Cross Yarra Partnership was announced as the preferred tenderer for the A$6bn package in July.

The project company will deliver twin nine-kilometre tunnels and five new underground stations at North Melbourne (Arden), Parkville, State Library, Town Hall and Anzac, as part of the state of Victoria's biggest ever public transport project. In John Laing's pre-close update on 8 Dec the group said its investment commitments for 2017 to date were £340m, well ahead of the original guidance of approximately £200m.

It said the metro tunnel investment had increased commitments to £383m million.

It said no further investment commitments were expected in 2017.

Chief executive Olivier Brousse said: 'Melbourne's metro tunnel is a landmark project that will transform the Melbourne rail network.

'The Public Private Partnership set up with the State of Victoria will guarantee the delivery of this highly complex project.

'John Laing is delighted to be involved in such an important project alongside some of the best construction and development companies in the world that are Lendlease/Capella, John Holland and Bouygues Construction.'

At 9:46am: [LON:JLG] John Laing Group Plc share price was -0.85p at 279.05p

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