An update from Infrastructure Ontario and Metrolinx regarding progress made on the Eglinton Crosstown West Extension project is garnering quite the opposite response than stakeholders likely expected leading up to the weekend.

The news, shared midday Friday, is that of another big milestone in the development of the transit line: a contract for the second of two underground portions of the seven-stop route, which is set to extend 9.2 km from the western terminus of the still-unfinished Eglinton Crosstown LRT.

While the larger underground length of the line has been in the works from construction consortium West End Connectors since 2021, a much smaller underground segment on the other side of the line's elevated guideway will be designed, built and financed by one STRABAG Inc.

This contract, awarded to STRABAG on February 16, is stoking anger for a few different reasons.

Why would you award this contract to a Sanctioned Russian Oligarch?

— CyFr 🇨🇦💙💛 (@o0CyberFreak0o) February 16, 2024

The first is the company's ties to sanctioned Russian businessman Oleg Deripaska, who owns some 30 per cent of the firm, though he has been removed from its board in light of EU sanctions over the Russian invasion of Ukraine.

Some have also noted that STRABAG served as a contractor for Nazi engineering projects during WWII. 

#ONpoli

On the same day that Putin kills his political opponent, Doug Ford awards ANOTHER massive construction contract to Strabag (partially owned by Russian Oligarch Oleg Deripaska)
🤮🤮🤮🤮 https://t.co/jt5l2vPGHm

— TDot Resident (@TDotResident) February 16, 2024

Then, there is the monstrous price tag of the contract: a staggering $255 million for just 500 m of tunnel, covering about half the length between the adjacent Jane Street and Mount Dennis stops.

By comparison, the West End Connectors contract for the much larger underground portion of the extension running from just east of Renforth Station to just west of Royal York Station — across five stops, some of which are much farther apart — was $729.2 million.

The 1.5 km-long, 2.5-stop elevated guideway between the two tunnels was awarded to Aecon Infrastructure Management Inc. for $290 million at the end of last year.

Finally, there is the peculiar decision to put this short part of the line underground at all after Metrolinx's initial business case for the Crosstown West Extension showed that putting the track mostly at grade would have a greater financial return-on-investment (up to double, depending) as installing it mostly below-grade.

The final contract for the Eglinton West LRT tunnel/guideway infrastructure has been awarded. Good to see this project moving swiftly. However $255 million for 500 metres of tunnel is quite pricey. https://t.co/eek2Y8Myuv

— More Transit Southern Ontario (@MoreTransitSO) February 16, 2024

The controversial STRABAG is no stranger to transit initiatives in Ontario, as it was also given responsibility of the tunneling work for the Scarborough Subway Extension back in 2021.

Infrastructure Ontario said in this case that the group was selected in an "open, fair and competitive procurement process overseen by a third-party fairness advisor," and that it "submitted the proposal that delivers the best value for Ontario taxpayers."

Major construction on this swath of the line will begin later in 2024, with enabling works already underway.