May 3 (SeeNews) - Bosnia's Sarajevo canton said it has signed a 31.1 million euro ($32.7 million) contract with local company Euro-Asfalt for the construction of the Kobilja Glava tunnel.
The tunnel includes two sections, which should be completed in up to two years, the Sarajevo cantonal government said in a statement last week.
The consortium made of local civil engineering companies IRD and PPG was previously selected to supervise the project, the canton said.
The project will be financed through a loan from the European Bank for Reconstruction and Development (EBRD), the cantonal government said in an earlier statement.
Sarajevo canton is one of ten cantons forming the Federation, one of two autonomous entities that make up Bosnia and Herzegovina. The other one is the Serb Republic.
($ = 0.9511 euro)