Shank/Balfour Beatty to commence 12.7 km tunnel in June, 1999 using own-design 4.85 m TBM. Alignment mainly below water table at average depth of 60 m in alluvium and fractured metamorphic rock. Two intermediate shafts required for ventilation and grout transport. Probehole drilling, grouting and dewatering expected to stem water inflow and improve ground conditions. Part of Inland Feeder project. Completion scheduled September, 2002. March 1999.