27 Feb 2006

Interserve, the services, maintenance and building group, has been named preferred bidder by Defence Estates for the Prime Contract to support the infrastructure of the MoD's bases in the Republic of Cyprus. The contract, estimated to be worth in the region of £100 million, is expected to be finalised in March.

Full services will begin following a 24-week mobilisation and parallel-running period, after which the contract will last for five years with a possible two-year extension. Interserve will provide maintenance, repair and minor construction services covering buildings and infrastructure including roads, water and power.

The services will be undertaken in the two British Sovereign Base Areas (SBAs) in Cyprus, which cover an area of 22 square miles. These are the Western SBA, encompassing RAF Akrotiri and the Episkopi Support unit, and the Eastern SBA comprising the Dhekelia Garrison, the Ayios Nikolaos Station and their link road.

Adrian Ringrose, Interserve Chief Executive, commented, "We are looking forward to extending our relationship with the MoD through working together in this strategically important location, building on the experience and understanding we have gained not only in the UK but also in our similar Prime Contract covering the South Atlantic Islands."