The Cromwell roundabout is one step closer with the announcement Fulton Hogan has been awarded a $3.3million contract to complete the project.

Estimated project costs for the roundabout, including design, resource consents and a land purchase from the Central Otago District Council, total $5million and are funded by NZ Transport Agency (NZTA) through the government’s $6.8billion NZ Upgrade Programme.

The 20m-radius single-lane roundabout will replace the existing T intersection linking State Highway 6 and State Highway 8B.

Rising crash numbers at the intersection had caused the NZ Transport Agency (NZTA) to look at safety improvements for the site.

Between 2010 and 2019, 23 accidents occurred at the intersection, with one crash resulting in two deaths.

In 2012, a separate left lane turn lane was added and the speed limit reduced from 100kmh to 80kmh. However, further improvements were deemed necessary.

Principal project manager Brendon French said the project was expected to be completed in the second half of 2022.

Construction preparation work, including relocating a water main, would start this month, Mr French said.