Empresas ICA SAB (ICA) has signed a MXN 9.32bn ($740m) deal to construct a 169km federal highway in southern Mexico.

The Mexican communications and transportation ministry has awarded the 20-year concession contract under the public-private partnership mechanism, according to online.wsj.com.

Work on the project involves operation of the Mitla-Tehuantepec highway linking land-locked Oaxaca City with the port of Salina Cruz.

Construction work is expected to be complete in 40 months.

ICA is a Mexican construction company engaged in the development and construction of infrastructure projects as road, with operations in Americas and Europe.