Amec's prospects were boosted last week after it secured a £200m contract with Network Rail.
The group issued a positive trading statement on the back of the deal, allaying market fears that it would experience a flat year. The share price jumped 6% to 168p after the announcement.

The firm's seven-year Network Rail deal is a joint venture with French company Cogifer to renew track across the UK. Lines up for renewal include routes from Paddington to Bristol and the east coast link from the Scottish Borders area to London.

The contract will be a boost for rail contractors after the decision by Network Rail last week to take back Amey's maintenance deal for the line between London and Reading, Berkshire, and carry it out in-house.

This led to concerns that rail maintenance would be "renationalised".

Having combined Amec and Spie’s rail businesses, we now offer industry-leading expertise

Amec chief executive Sir Peter Mason

Amec said it was bidding for further Network Rail track renewal contracts across the UK. It expects to win several contracts in the oil and gas, transport and infrastructure markets.

The group is in the final stages of transferring best practice between its UK rail operation and Spie, its French subsidiary. Spie has worked on track renewal for the Paris Metro and France's TGV rail lines.

Amec exercised its option to buy out Spie last month; it had owned 46% of the company. The European Commission is expected to make a decision this week on whether the deal complies with competition rules.