LTG Infra Terminates Contract with Neris Bridge Contractor Rizzani de Eccher
LTG Group’s railway infrastructure company, LTG Infra, having conducted a comprehensive assessment of the progress of construction works on the Rail Baltica bridge over the River Neris, the financial situation of the general contractor Rizzani de Eccher, and the fulfilment of contractual obligations, has decided to terminate the works contract.
“Resuming construction of the Neris bridge is now a top priority. Rail Baltica is strategically important for our connectivity and regional security. We must ensure the European‑gauge railway project proceeds without delay and that the mainline is completed by the end of 2030. Prompt and decisive action is essential,” said Juras Taminskas, Minister of Transport and Communications of Lithuania.
The minister emphasized that the Neris bridge is one element of the broader Rail Baltica project. Despite the challenges, progress remains on track, with construction underway along a 114 km stretch between Kaunas and Panevėžys, where the first European-gauge tracks are already in place.
Since 2023, LTG Infra has been actively monitoring the contractor’s financial position. Until recently, Rizzani de Eccher’s internal restructuring processes had not had a material impact on the progress of the project in Lithuania. However, significant breaches of contractual obligations have now been identified, including failure to deliver works in line with the agreed schedule and the general contractor’s failure to settle payments with subcontractors.
Acting as the project owner and as a representative of the public interest, LTG Infra provided the contractor with all necessary opportunities to submit a corrective action plan and carried out a thorough evaluation of that plan. Nevertheless, at this stage LTG Infra sees no viable basis for continuing cooperation with this contractor.
“There is a real risk that, with this contractor, the bridge would not be completed on time. We cannot tolerate serious contractual breaches, failure to perform works, or non-compliance with financial obligations. We must take decisive action and cannot remain a passive observer when the delivery of a strategic project is under threat,” emphasizes Arūnas Rumskas, Acting CEO of the LTG Group.
The decision to terminate the contract was taken after considering all possible scenarios and alternatives. Following the completion of procurement procedures and the appointment of a new contractor, the remaining construction works – concreting of the piers and the bridge deck – could be completed in just over one year. This is considered a safer alternative than continuing work with a contractor that is failing to meet its contractual commitments.
“It is important to underline that the bridge over the River Neris will be built, and this decision is necessary to ensure that outcome. The termination of a single contract does not halt the Rail Baltica project in Lithuania and does not alter LTG Infra’s commitment to deliver it, while ensuring market liquidity and the continuity of works. LTG is currently preparing to re-launch the tender,” says Vytis Žalimas, CEO of LTG Infra.
LTG Infra has settled all payments with the general contractor for works performed and substantiated under the contract. Those subcontractors whose invoices were not paid by Rizzani de Eccher will need to initiate legal proceedings to recover funds directly from the general contractor.
LTG Infra continues to strengthen its contract management and supervision framework: this includes enhanced monitoring of contractors’ financial standing, the implementation of additional risk mitigation mechanisms, and more frequent reviews of works progress, so that potential risks are identified at the earliest possible stage. LTG Infra’s priority remains the timely and responsible delivery of all project work.
In Lithuania, construction contracts have been signed for a 114 km section between Kaunas and Panevėžys, with 8.8 km of European‑standard railway track already laid in the most advanced section. A public procurement procedure has been launched for design services for the Panevėžys–Lithuanian–Latvian state border section (54 km), with works planned to commence this year. Design works for the Rail Baltica railway line between the Lithuanian–Polish state border and Kaunas (almost 100 km) are also ongoing. In addition, the dedicated LTG Infra Rail Baltica Design Unit has officially commenced design activities.
Rail Baltica is a strategic project for both the LTG Group and the European Union and is the largest railway infrastructure project in the history of the Baltic States. Once completed, it will deliver an electrified European standard gauge railway line connecting Lithuania, Latvia, and Estonia with Central and Western Europe, strengthening regional integration, civil and military mobility, and the overall resilience of the transport system.
