AF Gruppen awarded NOK5.6 billion contract for Stad Ship Tunnel, enhancing maritime safety and connectivity in Norway.
The Norwegian Coastal Administration has awarded AF Gruppen a NOK5.6 billion (US$564.5 million) turnkey contract to build the Stad Ship Tunnel, reports Singapore's Splash 247.
The tunnel will be 1.7 km long, with a cross-section about 20 times larger than a road tunnel. It will be 45 m high and 36 m wide, passing beneath a 645 m mountain and accommodating ships with a draft of up to 12 m. AF Gruppen developed the project with consultant Norconsult during the tender phase.
Construction is scheduled to begin in early 2027 and take about five years. The tunnel will allow freight and passenger vessels to transit directly between the Norwegian Sea and the North Sea, ensuring year-round safe passage for ships operating between Bergen and Alesund.
AF Gruppen chief executive Amund Toftum said the project was a rare opportunity for a design-and-build contractor to deliver such a unique infrastructure scheme, which has attracted significant interest locally and internationally.
The idea of a ship tunnel at Stad dates back to 1874, but serious planning began in 2013 when it was included in Norway's National Transport Plan. The government announced formal plans in 2017, with state funding approved in March 2021. Initial estimates put the cost at $319 million, with construction originally slated to start in 2022.




