TEXT-Australia's Leighton says wins A$565 mln contracts

(Following is the text of a statement from Australian contractor Leighton Holdings Ltd (LEI.AX))

SYDNEY, April 30 - TDIC-Leighton has been awarded a series of new projects worth a total of US$435 million for the Tourism Development & Investment Company (TDIC), the tourism asset development arm of the Abu Dhabi Tourism Authority (ADTA).

The new contracts are the first of a series of major projects that TDIC is developing as part of its aim to turn Abu Dhabi into a world-class tourism destination.

Managing Director of Leighton International and the Al Habtoor Leighton Group, Mr David Savage, said the projects represent just the start of a long-term relationship between Leighton and TDIC.

"Our relationship with TDIC is one of Leighton's most significant partnerships, and will underwrite the company's business in Abu Dhabi for the foreseeable future," he said.

"TDIC is one of Abu Dhabi's largest, most respected developers," he said. "These projects are just the start of a long-term relationship, and we are delighted that it has selected us as its partner for its exciting development programme.

"We look forward to working with TDIC to develop Abu Dhabi into one of the world's leading tourist and cultural destinations."

Details of the new projects are as follows:

Saadiyat Construction Village

TDIC-Leighton is responsible for engineering, procurement and construction of a 20,000 man labour village on Saadiyat Island, complete with accommodation, kitchen, dining, recreation, mosque, shops, etc. The village will be produced in four clusters and there will be room for further expansion.

Abu Dhabi Golf Course Hotel

TDIC-Leighton is responsible for the construction of a 5-star 35,500 m2 hotel, including leisure facilities comprising, spa, pool, gymnasium and tennis academy. The site is located adjacent to the existing golf course facility at Abu Dhabi National Golf Course. In addition there will be residential accommodation provided around the existing golf course containing 66 villas, 32 townhouses and 144 apartments.

Eastern Mangroves Hotel and Resort

TDIC-Leighton is constructing the Eastern Mangrove Angsana Hotel and Resort, consisting of 223 bedrooms, 79 chandlery apartments, 91 marina apartments, and 51 luxury apartments.

Gary Player Golf Course

TDIC-Leighton will construct an eighteen hole championship golf course and nursery, including shaping, grassing, cart paths, irrigation, landscaping, toilets, refreshment kiosks, etc. An academy and maintenance building will be built in the next phase and a golf clubhouse in the phase thereafter.

ADTA & TDIC Headquarters

TDIC-Leighton is responsible for the construction of a 122,000m2 eight-storey office block. Piling and basement excavation works, including dewatering. The main building works are to be LEED Gold Award certified.

Desert Islands Resort and Spa

TDIC-Leighton is refurbishing the Desert Islands Resort and Spa, an existing 64 room hotel located on the northern part of Sir Baniyas Island. TDIC-Leighton is acting as project manager for the hotel works and main contractor for the chalets and ancillary buildings. The company is also main contractor for the construction of three staff accommodation buildings and temporary accommodation including all necessary infrastructure works.

TDIC and Leighton entered into a joint venture agreement in December last year, creating a major new force on the UAE capital's construction scene.

The 51:49 joint venture, TDIC-Leighton Contracting LLC, was formed to undertake contracting for civil engineering and infrastructure, building, and mechanical and electrical projects, project and construction management and facilities management services for TDIC. The agreement is expected to generate annual revenue for TDIC-Leighton from a minimum of US$270 million in the first year, to a minimum of US $1.4 billion in the fifth.

Last year TDIC awarded TDIC-Leighton the US$550 million 6.5 kilometre, Saadiyat Link, which will connect Abu Dhabi's Shahama district to Saadiyat Island, the 27 square kilometre island lying offshore Abu Dhabi city and which is being transformed into a signature leisure, cultural and residential destination. The Saadiyat Link road will transverse the island and connect to the 10-lane Saadiyat Bridge, which is already under construction from Abu Dhabi's Mina Zayed area. The Saadiyat Link, which includes five lanes in each direction, is due for completion in 2009.

The contract award covers construction of Saadiyat Link and associated side roads; the main feeder road to the up-market Saadiyat Beach district providing easy access to the planned five-star resorts and golf course; seven bridges with a total deck length of 1.6 kilometres; three tunnels; 10.7 kilometres of storm water drainage; 22.3 kilometres of sewerage systems; a 30 kilometre potable water network with a ground storage tank and pump station various mechanical and electrical works and installation of all utilities required to service Saadiyat Link and the Saadiyat Beach district including all hotels, residential developments and road systems.

Investa Property Group has awarded a $101 million contract to Thiess Pty Ltd for the design and construction of the landmark gArkh office tower in the heart of North Sydney CBD.

The 21 level building design was conceived by Rice Daubney Architects as a benchmark for environmentally sustainable design.

Located at 40 Mount Street, it will feature a unique, complex facade with larger cantilevered floors at the upper levels facing Mount Street and a stepped western facade integrating external terraces.

The building will feature 2000sqm floor-plates in its low-rise and have an average 1200sqm in the high-rise. This is a unique offering for North Sydney CBD where the average floor plate is less than 700sqm and less than 9 per cent of buildings have floor]plates of more than 1000sqm.

Group Executive, Investa Commercial Developments, Richard Johnston said the building's large floor plates, extensive harbour views and excellent environmental performance provide a product not traditionally available in North Sydney.

"The recent Coca Cola Amatil pre-commitment to the development is testimony to the building's ability to attract City tenants and respond to their needs.

"With approximately 75 per cent of the building still available to lease, the development is well-positioned to benefit from rent increases forecast for the next two years as supply tightens. Ark is the only new development set to come online in North Sydney prior to 2011," Mr Johnston said.

Ark will use tri-generation gas turbines to provide energy for electricity, hot water and heating/cooling for the building. The building is designed to achieve at least five stars for both the Green Star and Australian Building Greenhouse Ratings with the delivery team currently looking to up]grade the building to 6-star Greenstar. The development could be the first 6-star Greenstar high-rise tower in NSW.

Building work on site is scheduled to commence in June 2008, with completion in early 2010. Excavation works are currently underway.

"This pivotal project was the subject of intense competition against Sydney's most experienced, top-tier construction companies," said Brendan Donohue, Thiessf NSW/ACT General Manager.

"Our ability to secure this high-profile office development within such a competitive marketplace demonstrates Thiess' reputation for innovation, performance and our ongoing commitment to sustainable construction," he said.

The award of this contract follows on from Thiess' successful completion of premium office towers at 18 Marcus Clarke Street and 7 London Circuit in Canberra, as well as 100 Pacific Highway in North Sydney in 2006.

These projects have firmly positioned the company amongst the industry's office construction specialists. As a foundation member of the Australian Green Infrastructure Council, Thiess is a leader in sustainable construction practices.