Work on the Nuggets Rd sealing project, which was announced last year, is set to go ahead now SouthRoads has been awarded the construction contract.
The Clutha District Council received four tenders for the sealing of Nuggets Rd leading to the Nugget Point lighthouse, which ranged as high as $2.25 million.
SouthRoads' was the lowest tender at $2.13 million.
The NZ Transport Agency confirmed it would contribute up to 59.69% of the original $2.7 million budget and the council will cover the rest.
An exact date for the start of construction has yet to be confirmed but the first stage of the project is expected to start this winter.
Clutha District Council capital delivery manager Steve Gordon said the sealing work should be completed without road closures.
However, he asked drivers to be patient and mindful of safety measures and reduced speed limits.
The car park at the end of Nuggets Rd near the lighthouse will be sealed, guard rails will be installed on the road and rocks in the area will be stabilised.
The second and final stage will begin in summer, when sections of the road will be widened and a chip seal applied.
NZ Transport Agency Southern regional director Jim Harland said the agency was pleased to see the contract finalised.
The funding allocated was part of the Otago Transport Investment Programme which had identified the Nuggets Road as a key project to benefit Otago.
‘‘We know that gravel roads can be a challenge for many drivers, especially visitors, who may not have encountered them before,'' Mr Harland said.
