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Italian contractor Impregilo has won a $530M contract to construct the Karahnjukar dam and underground works in Iceland. The project includes 39.8km long, 7.6m diameter headrace tunnel and 13.5km of diversion tunnels. Tunnels will be excavated with three Robbins hard rock TBMs, the first arriving later this year and the others in early 2004.

Karahnjukar power station will have a generating capacity of 4,450GWh/year when fully operational in September 2007.

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