The contract to build the 15.2km long Cuncas 1 water supply tunnel in Brazil will be let by the end of 2004 by the Brazilian Ministério da Integração Nacional (the Ministry of National Integration). The tunnel, with an estimated cost of US$32M, will be the first of ten totalling 50km let on the São Francisco water diversion project, and is likely to be tendered as a unit price contract.