Kauno Tiltai has won a contract worth 56.5 million euros, including VAT, from Lietuvos Gelezinkeliai (Lithuanian Railways, LG) for the designing and construction of a second track on the railway section between Plunge and Sateikiai in northeastern Lithuania.
Lietuvos geležinkeliai
© Lietuvos geležinkeliai

The state railway company expects to sign the contract with the winning bidder shortly, after obtaining the go-ahead from a commission vetting deals by strategic enterprises and from the Cabinet.

"A key objective of the project is to ensure throughput and higher speeds in the section of the IXB strategic corridor linking the capital of Vilnius to the seaport of Klaipeda, Lithuania's main freight and logistics center," Karolis Sankovski, the head of the Railway Infrastructure Directorate at LG, said in a press release on Thursday.

Among other things, the project calls for upgrading 13.9 kilometers of the existing track and building 13.9 kilometers of a new track on the line by late 2022.

After the project is completed, maximum speeds on the stretch will be increased from 120 to 160 kilometers per hour for passenger trains and from 90 to 120 km/h for freight trains.

In October, LG signed a 61.8-million-euro contract on the construction of a second track on the Livintai-Gaiziunai section. The project will be carried out by French-owned Eurovia CS, Eurovia Lietuva, and LG's subsidiary Gelezinkeliu Tiesimo Centras (Railway Construction Center).

It is prohibited to copy and republish the text of this publication without a written permission from UAB „BNS“.

Cabinet backs retail and bank taxes

The Lithuanian Cabinet on Wednesday backed in principle new taxes on bank assets and retail...

Masiulis claims Grybauskaite asked for MG Baltic's positive coverage

Eligijus Masiulis , ex-leader of Lithuania's Liberal Movement, accused of accepting a bribe, claims...

Offices of the future will have to offer more than the working premises

The office becomes an important tool to attract employees and is now not just the work premises, but...

Ignitis Group plans to delist its subsidiaries from Nasdaq Vilnius

Lithuania's state-owned energy group Ignitis Grupe (former Lietuvos Energija ) is planning to...

Norwegians press exporters to cut prices amid weakening krone

The weakening of Norway 's krone against the euro has not yet hit Lithuanian exports to the...