Aggregate Industries award £50m contract to Babcock
Babcock to provide UK-wide fleet-management service for AI’s heavy mobile equipment
BABCOCK International Group plc, the UK's leading engineering support services company, have been awarded a £50 million, five-year contract by Aggregate Industries to provide a fleet-management service for their heavy mobile equipment (HME) across their UK operations.
The contract, which becomes operational immediately, is based on equipment availability and is underpinned by service level guarantees.
Using their proven method of delivery, Babcock will help Aggregate Industries optimize the performance and reduce the ownership and management costs of their HME fleet of more than 400 vehicles at 150 sites, allowing the business to focus on its core operation of supplying heavy building materials to the construction industry.
Commenting on the deal, Peter Rogers, chief executive of Babcock, said: ‘I am delighted we have been awarded this contract by Aggregate Industries. We look forward to working in partnership with them to transform their fleet performance, sharing best practice and delivering long-term benefits.’
He added: ‘This contract is particularly significant as it demonstrates that our unique whole-life fleet-management approach is being recognized by forward-thinking organizations seeking competitive advantage.’
John Bowater, deputy chief executive of Aggregate Industries, said: ‘Working with Babcock to provide our heavy mobile equipment maintenance highlights our commitment to expertise and efficiency. It means we can concentrate on what we do best – producing and supplying first-rate construction and infrastructure materials – leaving Babcock to support us with their maintenance expertise.’
Through their Mobile Assets business unit, Babcock currently manage more than 11,000 vehicles and 175,000 items of equipment for customers globally. This includes a 10-year contract to manage Lafarge’s HME fleets within the UK, US and Canada. The company is also progressing discussions with a number of other potential customers in the mining and construction sectors.
