SPC Construction, Lane Construction and FlatironDragados joined the Gateway Development Commission (GDC), Port Authority of New York and New Jersey, New York Governor Kathy Hochul, New Jersey Governor Mikie Sherrill, other elected officials, and stakeholders on Monday to celebrate a major milestone for the Palisades Tunnel Project ahead of the launch of the project's first Tunnel Boring Machine (TBM).
The project joint venture – Schiavone Lane Dragados JV (SLD JV) – is composed of SPC Construction Co. LLC, (the former Schiavone Construction Co. LLC is now part of SPC), a subsidiary of FlatironDragados; The Lane Construction Corporation, the U.S. subsidiary of Webuild Group; and FlatironDragados (the former Dragados USA is now part of FlatironDragados), part of the ACS Group.
The event marks the beginning of a significant new phase of construction on one of the nation's most important transportation infrastructure investments. The Palisades Tunnel Project is the first tunnel boring contract awarded by GDC as part of the larger Hudson Tunnel Project, a $16 billion investment to construct a new rail tunnel between New York and New Jersey and rehabilitate the existing century-old tunnel beneath the Hudson River. The joint venture was awarded a $466 million contract to construct the Palisades Tunnel Project in 2024. The current tunnel serves more than 200,000 passenger trips each weekday on more than 450 Amtrak and NJ TRANSIT trains traveling along the Northeast Corridor.
“This milestone is a tremendous accomplishment for all involved, representing years of planning, coordination and hard work,” said Joe Sheehan, PE, Chief Operating Officer of SPC Construction. “We are proud of our strong partnership with the Gateway Development Commission, the Port Authority of New York and New Jersey and the work we are accomplishing together as we advance this transformative project forward.”
"Today's milestone represents the dedication, innovation, and collaboration of the entire project team," said Daniele Nebbia, Executive Vice President and Chief Operating Officer at The Lane Construction Corporation. "The launch of the TBM is more than the start of excavation activities. It is a visible sign of progress on a transformative project that will strengthen one of the country's most critical transportation corridors for generations to come."
The project includes constructing the first mile of twin rail tunnels on the New Jersey side of the Hudson River. Work features two TBM-driven tunnels, each approximately 5,100 feet long and lined with precast concrete segments with an inside diameter of 25 feet, 2 inches. The two hard-rock tunnel boring machines are expected to build roughly 30 feet of tunnel per day. The project also includes six cross passages connecting the tunnels and construction of the new 120-foot-deep Hudson County Access Shaft, which will be used to remove the TBMs upon completion of excavation.
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When completed, the new tunnel infrastructure will help improve reliability, resiliency and enable expanded capacity along the Northeast Corridor while eliminating a critical single point of failure in the region's rail network. The broader Hudson Tunnel Project will provide a modern rail connection beneath the Hudson River while allowing for the rehabilitation of the existing tunnel, which first entered service in 1910.
With an unparalleled track record of delivering some of the nation’s most complex infrastructure projects, Schiavone Lane Dragados JV has assembled a world-class team with a history of specializing in tunneling, transportation infrastructure, mechanical systems, and a broad range of other capabilities. The fully integrated project organization brings together technical experts and seasoned leaders from each partner company, strategically aligning specialized experience with key project components. This collaboration underscores the joint venture’s commitment to innovation and excellence and ensures the successful execution of the Palisades Tunnel Project.


