1 OHL MONTHLY CORPORATE NEWSLETTER Nº 162 MARCH 2014 mosaico Atizapán-Atlacomulco concession, express lanes along the In this number Palmetto Expresway and Canal de Navarra Pre-classification for the Seventh highway in Toronto Light Railway, with a concession of 5,000 Million CAD 2 Mexico and new works New R&D initiative of OHL Concesiones to monitor in Florida and Spain seismic activity in the OHL Concesiones and OHL Construcción have ended the first quarter of the Northern Urban Toll Road year with valuable awards to the Group. The former has achieved its seventh viaduct 2 highway in Mexico, the Atizapán-Atlacomulco, for a 30-year term and an estimated investment of 540 Million Euros. Francisco Navarrete, Territorial Manager for the In turn, through the Community Asphalt Furthermore, in Spain, OHL Construcción subsidiary, OHL Construcción is leading has been able to take over the largest Basque Country, Cantabria, a 180.5-Million Euro project in Florida to project tendered by the Government of Asturias and Galicia, and design and construct express lanes along a Navarre over the last few years: a 30-year Alfonso Orantes, Head of total of 21 km. in the Palmetto Expressway concession to construct, manage and Studies and Planning 5 and I-75 interstate. exploit an extension of the irrigable area in the first stage of Canal de Navarra. Juan-Miguel Villar Pages 2 and 3 Mir, rewarded at the VII Forinvest Prizes: Spain, Peru and Mexico, the countries with the highest number “Innovation is necessary of employees for our wellbeing and for Spain’s reindustrialization” 8 OHL generated 3,974 net jobs in 2013 and increased its staff by 20 % The Group has ended 2013 with a staff of 23,795 persons, generating a net figure of 3,974 jobs and a 20 % increase with respect to the previous year. In line with OHL’s international profile, most of this team -64.5 %- works outside Spain. OHL Construcción, representing 56.5 % of the total staff, was the division with the highest increase in number of employees in absolute terms. In addition to this staff increase, 2012 registered a 10.1 % increase both in the national market and abroad. In Spain, with a total staff of 8,457 persons, the Mosaico is an OHL Group Monthly Corporate increase represents 1,302 employees: 18.2 %. In turn, employment abroad grew Newsletter by 2,672 persons- 21.1 %- until reaching 15,338. Paseo de la Castellana, 259 D, Torre Espacio 28046 - Madrid Tel.: +34913484100 This increase in Spain is mainly due to the OHL Servicios division, whose staff e-mail: [email protected] grew by 1,458 persons, i.e. 38 % more than in 2012. In turn, 78 % of the increase abroad refers to 2,079 new jobs in Peru, as a result of works executed in Network Management and production: Ippi Comunicación Nº 4 and tranche VII of the Ayacucho-Abancay road. Tel.: +34913148178 Page 4 e-mail: [email protected] 2 Mosaico March 2014 (From the cover) A 540-Million Euro investment, 74 km long Atizapán-Atlacomulco, the seventh highway in Mexico Through OHL México, OHL Concesiones has been awarded a contract to finance, construct, exploit, preserve and maintain the Atizapán-Atlacomulco toll road, becoming the company’s seventh in the country. The concession was awarded by the Secretariat of Communications the metropolitan area of Valle de México with the region and Transport of the Mexican Federal Government, for a 30-year of Maravatío, in the state of Michoacán, and the cities of term. The investment foreseen totals 540 Million Euros (9,725 Querétaro and Guadalajara, in the states of Querétaro and Million Mexican Pesos). Jalisco, respectively. The highway will be 74 km long, with four traffic lanes (two in each The award of this concession will enable valuable synergies direction). The project includes the construction of various tunnels with the highways managed by OHL México in the country and and viaducts. now totals seven toll roads in OHL Concesiones’s portfolio in Mexico (three in the State of Mexico, two in Mexico City and two Located in the State of Mexico, it will significantly improve in the states of Puebla, Tlaxcala and Veracruz), with a network connectivity in one of the most important industrial regions in covering a total of 435.3 km. New R&D initiative of OHL Concesiones 5,000 Million CAD for the Eglinton Crosstown LRT Monitoring of Pre-classification seismic activity in the in the Toronto Northern Urban Toll Light Railway Road viaduct Last February, OHL Concesiones began a pilot project to successfully project undertake a new R&D initiative aimed at developing a seismic activity monitoring system along the Northern Urban Toll Road viaduct, which As part of the Crosstown Transit Partners (CTP) crosses a hazardous area of seismic activity. consortium, OHL Concesiones has been pre- classified to develop the Eglinton Crosstown LRT The Northern Urban Toll Road runs between ex-Toreo and the San Antonio project, which will cross the city of Toronto. Fengate Road Interchange, with a 9.6-km raised viaduct, three lanes in each direction, over the Peripheral Ringroad. In addition to this main trunk there Capital Management, Strabag, Bechtel Development is a 6 km raised structure representing the entry and exit interchange to the Company and Obayashi Canada Holding are also main trunk, and a two-tier tunnel 750 m long. members of the consortium. The aim of this initiative, launched by OHL Concesiones along with the The Eglinton Crosstown LRT project will be developed Northern Urban Toll Road and Torroja Ingeniería, is to supervise road along a 19-km corridor. The concession has been granted conduct, to verify mathematical models and to generate action protocols for a 30-year term and the investment foreseen exceeds in the event of seismic movement. Its analysis and results will involve the 5,000 Million CAD. The corridor includes a buried tranche installation of measurement and real-time recording devices of concession longer than 10 km and will have 25 stations, connecting structure behavior. to various bus lines, three subway stations and several railway lines. Thus, due to the complexity of the structure and before drawing up the final project, a pilot project has been started up with a delivery from Madrid of measurement instruments, in order to validate instrumentation technology, operation and installation costs, algorithms for the processing of gathered data and real dynamic behavior of the structure. Mosaico March 2014 3 Design and construction of express lanes along the Palmetto Expressway and I-75 OHL leads a 180.5-Million Euro project in Florida Community Asphalt, OHL Group’s subsidiary in Florida with a 50 % stake in the joint venture between the three companies awarded a contract by the Florida Department of Transportation (FDOT), for 180.5 Million Euros, is leading the design and construction of express lanes for the 826 (Palmetto Expressway) and 93 (I-75), two of the busiest roads in the Miami area. The express lanes will be constructed Express lanes between the 826 and those foreseen in the tender. The along a total of approximately 20.9 I-75 will be connected with a raised works project was awarded based km. Along the Palmetto Expressway structure. In addition to these works, on technical and economic criteria. a 16.1-Km tranche will be executed, the project contemplates the widening This project directly connects to the with one or two lanes in each direction, and improvement of both roads along 826/836 interchange station, Miami’s depending on the area, from Flagler St. the relevant tranches. To do this, largest, with four levels and up to 32 to 154 NW St. In turn, an express lane in milling, resurfacing, drainage, lighting, m high, which was awarded in 2009 to each direction will be constructed in the signaling, sowing and planting works a joint venture consisting of the same I-75, along a 4.8 km tranche, between will be carried out, as well as installing companies and also led by the OHL the 826 and 170 NW St. In the future, an Intelligent Traffic System (ITS). Group subsidiary. the system will be extended from this street up to the 595 Interstate. The works will be executed over 1,175 days, almost 700 days less than The largest public works project tendered in Navarre over the last few years OHL is awarded extension works in the first stage of Canal de Navarra The Government of Navarre, through Instituto Navarro de Tecnologías e Infraestructuras Agroalimentarias (INTIA) [Navarre Institute of Agricultural/Food Technologies and Infrastructures] has awarded to the OHL-Agbar joint venture, led by OHL with a 60 % stake, a concession to construct, manage and exploit extension works in the irrigable area in the first stage of Canal de Navarra, over a 30-year term. This is the largest public works tender Extension of the irrigable land consists • Reducing energy cost in 3,839 launched in Navarra over the last few of 15,275 ha along the banks of the ha of irrigation systems over the years. The OHL-Agbar joint venture Ega and Arga Rivers, supplying 15 last twenty years, thanks to better expects to invest 103.2 Million Euros municipalities. The project covers three pumping. (without VAT) in the concession works types of activity: and will receive an average annual fee In environmental matters, of interest from the Government of Navarre of 8.53 • Updating of traditional irrigation is the better quality of water currently Million Euros. systems on 6,005 ha, which will used in some irrigation systems, given be irrigated with no energy cost that water will be used from Canal de With this contract award, OHL will thanks to the current level of Canal Navarra, flowing from the Pyrenees, participate in a highly profitable de Navarra.