Skanska joins McAlpine on £1.25bn Port Talbot job 

Skanska has been picked to provide design advice and project management for the £1.25bn electric arc furnace development at Port Talbot.

Skanska Technology, the group’s UK consultancy arm, has been working on the mega-project for more than four months – but has now signed a deal with Tata Steel to help deliver the works. 

Last month, Sir Robert McAlpine was named as main contractor for the scheme, which will see the historic South Wales steelmaking site transition to producing low-carbon steel. 

Skanska will provide civil and structural design for key parts of the project, including building foundations, structures and the electric arc furnace itself. It will also design site infrastructure and drainage. 

The consultancy work, understood to be worth in the low millions of pounds, will be managed by Skanska’s team in Bridgend, with some of the firm’s staff embedded with the client and Sir Robert McAlpine.

Skanska has previously had some project management staff seconded at Tata on a time charged basis, with some small engineering tasks having been completed on a lump sum basis. 

The new electric arc furnace will replace the site’s decommissioned iron and steelmaking facilities, producing up to three million tonnes of steel annually while reducing the site’s steelmaking carbon emissions by 90 per cent. 

Skanska UK engineering and design director Susan Ryall said: “We have been working closely with Tata Steel for the past four years, developing the design and project management solution for this complex scheme. 

“We have a long history of delivering civil engineering works at Port Talbot. Building on this experience, we have worked collaboratively with the site team, using our technical expertise to create a solution that meets the needs of this project.”

Tata Steel UK’s head of project engineering Dave Murray said: “This £1.25bn investment in low CO₂ steelmaking is the biggest commitment the UK steel industry has seen in generations.

“It is critical that it is delivered on specification, on time and on budget, so it is important for us to choose the very best industrial partners with a strong reputation for delivery.”