Norway

Historic contract signed for world’s first ship tunnel

18/08/2026, 10:52
Historic contract signed for world’s first ship tunnel
Image courtesy of Kystverket/Multiconsult/Link Arkitektur/Mir

After decades of discussion, the world’s first ship tunnel is now officially under contract. The Norwegian Coastal Administration and AF Gruppen have signed the NOK 5.6 billion agreement for the Stad Ship Tunnel in western Norway.

The Norwegian Coastal Administration and AF Gruppen have signed the contract for the Stad Ship Tunnel in Vestland county, Norway. The world’s first tunnel designed for full-size vessels. The agreement marks the end of a planning process spanning several decades.

The contract is a design-and-build arrangement worth approximately NOK 5.6 billion excluding VAT. AF Gruppen is responsible for both engineering and construction of the tunnel, which will be 1,700 metres long, 50 metres high and 36 metres wide.

– This is a historic day. The Stad Ship Tunnel is a project that has been planned and discussed for many decades, says coastal director Einar Vik Arset.

Tunnel works are set to begin after the new year, with a construction start planned for early 2027. The full project is expected to take around five years to complete.

– It is rare for us as a contractor to take on a project of this unique character, attracting such high levels of local, national and international attention, says Ivar Galaaen, director at AF Anlegg.

AF Gruppen Kystverket Norway Stad Ship Tunnel
Nils Lund