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MERKO has signed contracts for the second phase of the Rūdninkai Defence Force Campus – Parts B and C

On January 15, 2026, UAB Merko Statyba, part of the AS Merko Ehitus group, and the Lithuanian Ministry of Defence signed two separate public-private partnership (PPP) contracts for the design and construction of Parts B and C of the Rūdninkai Defence Force Campus, as well as maintenance services during the contract period.

„The fact that Merko has been selected as the winner in two parts represents a major responsibility and a clear commitment for us. We are preparing to implement this project by mobilising all available resources and our accumulated experience. This is a strategically important, large-scale development that will require the highest levels of project management, engineering and organisational expertise. We have acquired these competencies through the construction of infrastructure for U.S. troops in Pabradė, as well as other complex projects, including public-private partnership developments in Vilnius and Kaunas.

A public-private partnership contract is about risk management, trust and cooperation – and this is exactly the approach we will pursue to ensure that the project is delivered on time, to a high quality standard and in the best interests of the state. We are ready to start work immediately, as we fully understand the importance of this project for Lithuania and its security,” says Saulius Putrimas, Head of Merko in Lithuania.

UAB Merko statyba, acting through the designated project companies UAB VPSP B and UAB VPSP C, shall perform the design and construction of the Rūdninkai Defence Force Campus infrastructure (respectively parts B and C) in accordance with the procurement specifications, including outdoor engineering networks, roads, training areas, administrative buildings, storage, repair and sports facilities, as well as other engineering structures within the territory.

According to the terms of the Public-Private Partnership (PPP), the contract price is payable in annuity payments from the date of handover of the infrastructure, during the period that shall not exceed 13,5 years, and includes management, maintenance and financial costs. The management and maintenance cost components of the price are indexed.

The total nominal value of Part B is approximately EUR 325 million excluding VAT, of which the construction works amount to approximately EUR 175 million excluding VAT. The total nominal value of Part C is approximately EUR 375 million excluding VAT, of which the construction works amount to approximately EUR 199 million excluding VAT.

For the contracts to enter into force fully, additional preconditions, in particular securing the financing of the contracts, must be fulfilled by mid-June 2026.