Jul 09 – OHL Loses A Further Claim Against The Government
In relation to the Airport tunnel and road, the English Court of Appeal has dismissed Spanish company OHL’s appeal in its entirety today.
This follows a ruling made in April of last year which found that the Government of Gibraltar had correctly terminated the original contract and was entitled to recover from OHL, amongst other things, the costs of bringing in a new contractor to finish the work.
It was that ruling that OHL appealed against but which, today, has been found in favour of the Government. In relation to costs, OHL have agreed to an interim payment of £250,000.
Chief Minister Fabian Picardo said: “Naturally we are delighted with this ruling.
“This is a further endorsement of our handling of this difficult and protracted case.
“The ruling will also enable us to move forward more quickly to complete the road and tunnel.”
Works have almost completed at the southern side of the tunnel, the roundabout to the southern side is almost complete, de-watering is about to begin, and analysis of the tunnel wall is complete. It is estimated that it will take another five years to complete works to the tunnel.
OHL now have 14 days to file a notice of appeal.
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