Scope
Reference
project_43370
Description
Network Rail has awarded a contract via Direct Award under the Procurement Act 2023 to Pandrol Limited for the Supply of Aluminothermic Welding Materials and Associated Equipment.
Commercial tool
Establishes a framework
Framework
Maximum percentage fee charged to suppliers
0%
Framework operation description
This framework operates on a Direct Award basis. Network Rail will place orders directly with the supplier without further competition. The goods will be procured via a Network Rail catalogue, using the contracted Schedule of Rates, which are fixed for the first 6-months, following which a half yearly price review mechanism applies to ensure pricing remains fair and reflective of market conditions. The framework has a duration of 4 years, with an option to extend for a further 4 years, subject to performance and agreement. All call-offs will be managed through the catalogue system and will adhere to the terms and conditions set out in the framework agreement.
Award method when using the framework
Without competition
Contracting authorities that may use the framework
Establishing party only
Contract 1. Supply of Aluminothermic Welding Materials and Associated Equipment
Supplier
Contract value
- £6,100,000 excluding VAT
- £7,320,000 including VAT
Above the relevant threshold
Date signed
11 November 2025
Contract dates
- 11 November 2025 to 31 October 2029
- Possible extension to 31 October 2033
- 7 years, 11 months, 20 days
Description of possible extension:
4 years - to be used if requirements and market conditions remain unchanged
Main procurement category
Goods
Options
The right to additional purchases while the contract is valid.
Should the Supplier introduce new products under the scope of Aluminothermic Welding Materials and Associated Equipment, the Buyer shall have the right to vary these into the Agreement.
CPV classifications
- 44315200 - Welding materials
- 42662000 - Welding equipment
Contract locations
- UK - United Kingdom
Other information
Conflicts assessment prepared/revised
Yes
Procedure
Procedure type
Direct award
Special regime
Utilities
Direct award justification
Additional or repeat goods, services or works - extension or partial replacement
With respect to joining rails on site, Aluminothermic Welding is the only welding process Network Rail can utilise given the number of welds installed on an annual basis (Circa 30,000 - 40,000). Other welding processes are either not suitable (enclosed arc welding) or unable to support the number of sites and welds required per year i.e. flash butt welding as only 1 machine is available in the UK to support this process.
Network Rail has a number of Aluminothermic Welders in the business which are trained on the Supplier's Aluminothermic Welding Process. In order to continue using this process, Network Rail has to use the Supplier's Aluminothermic Welding Materials and associated equipment as they are specific to their processes and alternatives would be incompatible with the process.
Network Rail is unable to move to another Aluminothermic Welding process as this would require retraining of all welding staff which would cause disproportionate technical difficulties in operation and maintenance. In addition to this, there are no other Suppliers in the market which have an Aluminothermic Welding process approved to the requirements of NR/L2/TRK/0032 and EN14730-1.
Supplier
Pandrol Limited
- Companies House: 00521438
Bonemill Lane, Gateford Road
Worksop
S81 7AX
United Kingdom
Email: marketing@pandrol.com
Region: UKF15 - North Nottinghamshire
Small or medium-sized enterprise (SME): No
Voluntary, community or social enterprise (VCSE): No
Supported employment provider: No
Public service mutual: No
Contract 1
Contracting authority
NETWORK RAIL INFRASTRUCTURE LIMITED
- Public Procurement Organisation Number: PNZN-9524-VCQJ
Waterloo General Office
London
SE1 8SW
United Kingdom
Email: matthew.taylor76@networkrail.co.uk
Website: https://www.networkrail.co.uk/
Region: UKI45 - Lambeth
Organisation type: Public authority - central government