Pomerleau to deliver CHUM Stage 2

22.12.17

The Tier-1 Canadian constructor Pomerleau will replace Construction Santé Montréal on the remaining stage of the Centre hospitalier de l'Université de Montréal (CHUM) project.

STAGE 1 OF THE SUPER HOSPITAL WAS HANDED OVER BY CSM DURING 2017

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I am pleased to confirm that, as part of Construction Santé Montréal - the delivery JV made up of Laing O’Rourke and Obrascon Huarte Lain (OHL) - we have finalised a deal whereby Quebec-based Tier One contractor, Pomerleau, engages as principal contractor to deliver Phase 2 of the CHUM (Centre hospitalier de l’Université de Montréal) project in Montreal, Canada.

We have regularly reported that the project has resulted in significant financial losses for the Laing O’Rourke Group, and minimising further risk on Phase 2 has been a priority.

Pomerleau is the principal contractor tasked with delivering the second phase of CHUM (circa CAN$400m) and has already been working with us on dismantling the old St-Luc Hospital site on which Phase 2 sits. The demolition work is scheduled to take approximately one year.

This phase consists of outpatient services, clinical and administrative offices, as well as an amphitheatre and parking lots. We will be maintaining a Laing O’Rourke team in Montreal, as part of CSM, ensuring that Phase 1 continues to run smoothly through the handover period and monitoring Pomerleau’s progress on the Phase 2 programme through to completion of the contract.

Our teams have worked tirelessly to deliver on the commitment to construct one of the world’s largest and most complex medical precincts, handing over Phase 1 of the CHUM earlier this year. Full patient transfer was successfully completed in October 2017.

We enter this next stage with that same commitment and diligence across our teams in providing the city of Montreal with a truly remarkable healthcare project.

Successful execution of this transaction will now allow us to finalise our FY17 year-end accounts (31st March 2017), which we expect to file at Companies House at the end of January 2018.

I can confirm that the FY17 Group results show a profit before JVs and exceptionals, and I further confirm that our FY18 year-to-date results show a further improvement in the profitability of our core UK business.


Ray O’Rourke 
Group Chief Executive 
Laing O’Rourke