Home / Business / Carillion JV secures £1.1bn MoD deal

Carillion JV secures £1.1bn MoD deal

Joint Ventures between Carillion and major programme management contractor, KBR (Kellogg, Brown & Root) have been awarded construction and facilities management support services contracts, worth in excess of £1.1 billion, to support the Army Basing Programme (a series of unit moves and re-roles within the UK, and the return and resettlement of troops from Germany by 2019) – with delivery across Salisbury Plain Training Area and at Aldershot.

The Aspire Defence Capital Works JV will design and construct 130 new buildings, together with extensions and alterations to existing buildings and associated infrastructure. The construction works have an estimated value of £680 million. Work is expected to start immediately with completion scheduled for 2020. 

The Aspire Defence Services JV will provide facilities management and maintenance for the assets to be constructed and also for the increased military population across the garrisons under the Project Allenby/Connaught (PAC), a 35-year contract let by the UK Ministry of Defence (MoD) to Aspire Defence Limited in 2006. This contract variation will add approximately a further £430 million of support services revenue over the remaining 25-year contract. This additional service provision will begin as soon as construction of the first asset is completed, which is expected to be in May 2017, and will run until 2041. 

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