Toll road operator Transurban has reached a deal with a US state agency to extend a stretch of highway south of Washington DC.
The company says the Virginia Department of Transportation accepted its offer to extend the interstate 95 express lanes another 16 kilometres south in Fredericksburg, in Virginia, as well as the construction of new access points to the existing express lanes, including two new flyover ramps.
Transurban's offer also includes an additional payment to the department of $US45million and $US232 million ($A57.4 million $A295.8 million) and at service commencement, in lieu of forecasted toll revenue sharing commitments under the current agreement, the company said.
Construction is expected to begin in early 2019, with completion scheduled for 2022.
Chief executive Scott Charlton says Transurban currently has enhancements underway to both the southern and northern ends of the interstate 95 express lanes, which represents more than $US1 billion of investment.
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"Once we have completed these projects, our express lanes network in the greater Washington area will be the largest connected network in the United States," Mr Charlton said on Thursday.
"We continue to expand our operations in north America with additional opportunities emerging in the greater Washington area, as well as targeting select metropolitan areas that fit with our strategic and financial criteria."
