Lane (Webuild Group): first TBM launched in Gateway Development Commission’s Palisades Tunnel Project

Key part of USD 16 billion Hudson Tunnel Project 

Project to enhance resilience and reliability and enable expanded capacity along Northeast Corridor, one of busiest rail systems in United States

MILAN, October 9, 2026 – The Palisades Tunnel Project has entered the excavation phase. With the launch of the first tunnel boring machine (TBM), Lane, the U.S. subsidiary of the Webuild Group, the Gateway Development Commission (GDC), and its partners have begun underground construction works on this key part of the broader USD 16 billion Hudson Tunnel Project that will improve rail connections between New York and New Jersey.

Delivered by Lane in a joint venture with FlatironDragados and SPC, the USD 466 million Palisades Tunnel Project is the first mechanized tunnelling contract awarded by GDC under the wider Hudson Tunnel Project. The Hudson Tunnel Project includes the construction of a new rail tunnel beneath the Hudson River and the rehabilitation of the existing tunnel, which has been in service for more than a century. It will enable increased transportation capacity while improving the resilience of one of the most critical rail infrastructure assets on the U.S. East Coast.

The Palisades project involves the construction of the first section of the future rail tunnels on the New Jersey side of the river. The works include two parallel tunnels – each approximately 1.6 kilometres long and 7.7 metres in diametre – excavated by two TBMs and lined with precast concrete segments. It also includes the construction of six cross passages connecting the tunnels, as well as the Hudson County Shaft approximately 37 metres deep to allow for the retrieval of the TBMs upon the excavation’s completion.

The tunnels will help eliminate one of the major vulnerabilities in the regional rail network, enabling greater capacity and ensuring reliable service along the Northeast Corridor. They will also allow for the rehabilitation of the existing Hudson River tunnel without disrupting rail services, which are used by more than 200,000 passengers daily aboard over 450 Amtrak and NJ TRANSIT trains.

With more than 130 years of experience, Lane is recognised today as one of the leading contractors for complex infrastructure projects in the United States. Leveraging Webuild’s industrial and technological expertise, it has completed more than 200 tunnelling projects for a total of over 160 kilometres, contributing to the development of strategic infrastructure across metropolitan areas including New York, Washington D.C., Chicago, Cleveland, Seattle, San Francisco, Las Vegas, Dallas and Portland.

Through Lane and other operating companies elsewhere in the world, Webuild is strengthening its position as a global leader in the delivery of complex underground infrastructure, drawing on expertise developed through some of the world's largest infrastructure challenges. With a track record that includes nearly 13,700 kilometres of railways and approximately 3,500 kilometres of tunnels, it has established extensive know-how in the design and construction of large-scale rail, metro and hydraulic infrastructure projects.

Among Webuild most significant rail tunnelling projects under construction are the Brenner Base Tunnel system, which is set to become the world's longest underground railway link , and the Terzo Valico dei Giovi–Genoa Junction Project, which involves the excavation of more than 90 kilometres of tunnels, including secondary line interconnections.