Re Contract

Balfour Beatty PLC
03 March 2008


3 March 2008


          £220 MILLION OF MAJOR NEW ORDERS FOR BALFOUR BEATTY IN DUBAI

Balfour Beatty, the international engineering, construction, services and
investment group, announces today that Dutco Balfour Beatty Group, one of
Dubai's leading construction groups, in which Balfour Beatty has a 49% interest,
has secured two key projects totalling 1.5 billion UAE Dirhams (£220 million).

BK Gulf, which is the mechanical and electrical contracting business within the
Dutco Balfour Beatty Group, has been awarded the contract for the supply and
installation of M&E and key operational systems for the University Hospital in
Dubai. BK Gulf has been selected by Dubai Health Care City as one of the main
delivery partners for the hospital. The project, valued at 650 million UAED,
will commence on site in the third quarter of 2008 and will complete in 2010.

The Building Division of Dutco Balfour Beatty has secured the contract to
construct a new Novotel Hotel complex in the Al Barsha district of Dubai. This
project, for a private developer, is valued at 840 million UAED. The project
comprises three individual towers of 35 storeys constructed on a common nine
storey basement and podium section. Site preparation has already been completed
and therefore the project will commence in the second quarter of 2008 and be
completed by the end of 2010.

Commenting on the awards today, Balfour Beatty Chief Executive, Ian Tyler, said:
'These contract wins further demonstrate the strength of our business in the
UAE. Balfour Beatty has been an established player in Dubai for more than 30
years. In that time, we have earned a strong reputation for the timely delivery
of complex major projects such as these. We anticipate further awards in the
near future that will support our continuing growth in the Middle East region.'

                                      ENDS

Enquiries to:

Tim Sharp
Tel: [phone]
www.balfourbeatty.com


Notes to Editors
----------------

1.  Balfour Beatty's interests in Dubai comprise 49% interests in Dutco Balfour
    Beatty, a building and civil and marine engineering contractor, and BK Gulf,
    a mechanical and electrical engineering contractor.

2.  These businesses will have combined revenues of over £600 million in 2008.

3.  Amongst major current projects are the Burj Mall, the world's biggest
    shopping centre scheduled to open later this year, and major improvement and
    extension projects in the Emirates and Sheikh Zayed roads.

4.  Balfour Beatty is a world-class engineering, construction, services and
    investment business, well-positioned in infrastructure markets which offer
    significant long-term growth. We work in partnership with sophisticated
    customers who value the highest levels of quality, safety and technical
    expertise. Our skills are applied in appropriate combinations to meet 
    individual customer need. Balfour Beatty's financial position, with 
    significant net cash and with strong operating cash flows, offers continuing
    flexibility to add additional capacity and expertise to the business mix and
    to make appropriate investments in PPP and other long-term growth 
    opportunities.




                      This information is provided by RNS
            The company news service from the London Stock Exchange