The Civil Engineering Department is set to start the second phase of reclamation works at Penny's Bay following the award of a $1 billion contract to Gammon Skanska today. 

This is the second reclamation contract providing land for the potential expansion of Hong Kong Disneyland in future.

The contract covers the reclamation of about 60 hectares of land and the construction of about 1,600 metres of permanent sloping seawall and a stormwater drainage system.

To minimise the impact of the works on the environment, the contractor is required to implement monitoring and mitigation measures during construction.

The works are scheduled for completion in stages up to 2008.