Balfour Beatty has been confirmed as the preferred contractor for the planned runway extension at Sumburgh Airport.

The decision was announced following a board meeting of the Sumburgh Airport Strategic Partnership in Shetland on Friday 21 January 2005.

The contract to build will be confirmed in early spring subject to the successful completion of the detailed design phase.

The plan to extend the airport's 09/27 runway, expected to cost in the region of £10 million, has been the key aim for the members of the SASP for more than two years. The partnership comprises HIAL, Shetland Islands Council, Shetland Enterprise, and Sumburgh Airport Consultative Committee.

Funding commitments from SASP partners and the Scottish Executive are already in place and an application has been made for match funding from the European Regional Development Fund, Highlands and Islands Special Transitional Programme 2000-2006.

The lengthening of the runway by 320 metres will allow larger aircraft to take off and land and is intended to attract the oil industry back to the airport, improve the reliability of passenger services and make it possible to develop new air routes. It is hoped that work on the project will start on site in summer 2005.

Sumburgh Airport Manager Nigel Flaws said: "The confirmation of Balfour Beatty as preferred contractor brings the realisation of the Sumburgh runway extension closer.

"The extension will enable aircraft currently flying to the airport to operate without the weight restrictions and will also enable the development of jet traffic. New traffic could be developed both to the UK mainland and on east-west routings to Scandinavia and the Faroes. Larger aircraft with more seating capacity also create more economic scales of operation for airlines with the likelihood of cheaper fares. This will be of obvious benefit to the local economy and communities."

ENDS