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Part of a plan to spend more than $1 billion to rehabilitate a sewer system serving approximately 14 million people
The work will be performed by Insituform Pipeline Rehabilitation Private Ltd., an Indian company and joint venture between Insituform Technologies and Subhash Projects & Marketing Limited (SPML). SPML is one of India's largest water, waste and power infrastructure companies. The joint venture company combines the technical expertise and globally acclaimed cured-in-place pipe (CIPP) technologies of Insituform with the execution and marketing capabilities of SPML.
As part of the plan to spend more than $1 billion to rehabilitate a sewer system that serves a population of approximately 14 million people, the Delhi Jal Board (DJB) issued letters of intent for the contracts to Insituform's Indian joint venture on Sept. 12, 2008. Insituform is currently working with DJB on two existing projects valued at $35.1 million.
“Insituform has and will continue to make significant operational investments in India to safely and profitably service both our $56 million in backlog as well as the many new projects to be released by the DJB and other major Indian municipalities,” said Daniel E. Cowan, vice president, Strategic Business Initiatives for Insituform. “Insituform is also actively working to expand its product offerings in India so that we can participate in a larger portion of each program.”
Combined, the new contracts involve rehabilitating 8.35 miles of medium- and large-diameter sewer lines with Insituform’s CIPP, along with other trenchless and non-trenchless work. CIPP is a jointless pipe-within-a-pipe used to rehabilitate sewers with virtually no digging. The work will begin in 2009 and is scheduled to be completed within 24 months.
"The recent addition of substantial backlog in New Delhi is part of Insituform’s long-term growth strategy for the Asia-Pacific region,” said J. Joseph Burgess, Insituform’s president and CEO. “Insituform is committed to building a vertically integrated Asian operational platform ready to service the nearly $2 billion of funded trenchless projects over the next five years in India and meet the growing trenchless needs of other Asia-Pacific countries.”
Insituform has completed its first large-diameter sewer rehabilitation project in India for the New Delhi Municipal Council and has begun work on two other DJB projects scheduled for completion in early 2010.