Ground engineering contractor Van Elle has signed an eight-year partnering agreement with Wood Transmission & Distribution worth more than £30 million.
The partnership will see Van Elle deliver ground investigation, design, and construction activities for piling and foundations across several transmission schemes in Scotland.
The schemes fall under Ofgem’s Accelerated Strategic Transmission Investment (ASTI) programme.
Subject to performance, the partnership is expected to be worth more than £30 million.
The Nottingham-headquartered contractor has already commenced work on initial projects in New Cumnock, Argyll, and Beauly-Loch Buidhe.
Ground investigation works will be mobilised throughout January for the construction of 240 towers planned for 2026-27.
Van Elle chief executive Mark Cutler said: “Wood has been a long-standing customer for Van Elle, so we are delighted to announce this partnering agreement to help deliver part of the significant scale of energy infrastructure in Scotland together over the coming years.
Last month, the firm acquired Scottish specialist piling and drilling business Albion Drilling for £3.5 million, aiming to boost Van Elle’s presence in Scotland and extend the Group’s technical capabilities
Cutler continued: “Our recent acquisition of Albion Drilling based in Stirling will support a local resource base and specialist skills needed to deliver these important commitments, often in remote and challenging locations.
“This agreement is the first of a number that we anticipate in this growing sector; reinforcing our confidence in our medium-term ambitions.”
This comes following a period of subdued rail activity and project delays in highways work for the contractor, as “Market conditions have continued to be challenging across all sectors.”
In December last year, Van Elle said it remained “optimistic” about profits, expecting to deliver revenue for the six months ended 31 October 2024 of approximately £65 million, a 5 per cent decrease on the previous year.
The contractor also said the Building Safety Act had caused delays to start dates of taller residential schemes, but was “encouraged” by the continued recovery of the new-build housing sector.
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