The 2.74m high statue of Trooper David Mickle Jack was removed from the top of the Boer War monument in Oamaru three weeks ago.
Contractor Fulton and Hogan has begun preparing new foundations.
Excavation has been completed and base material was being compacted yesterday.
The monument was made up of panels and blocks with reinforced concrete of cement and gravel without fines (sand) down the middle.
It has been dismantled by Oamaru company Dooleys Masonry.
The concrete centre, which held the statue and panels, has been virtually demolished.
Kerry Dooley said there had been a few problems, but they had been overcome and the project was ahead of schedule.
The pieces of the monument, along with Trooper Jack, were being cleaned and repaired, before reassembly.
The 960-tonne monument is being shifted about 40m south and turned around 180 degrees to face north.
The project is part of major safety roadworks planned through central Oamaru on SH1.
The shift is expected to cost $685,000 and the total project through central Oamaru will cost more than $3 million.
The monument is a tribute to the 14 North Otago men who died in the 1899-1902 South African War.
