LITHUANIA: LTG Infra has broken ground on a €37m military mobility project at the Palemonas terminal near Kaunas which is served by both standard and broad gauge tracks. The site will be turned into a dual-use hub for strengthening NATO rail logistics on Europe’s eastern flank.
Described by LTG as one of its ‘most significant contributions to national security’, the Palemonas project is intended to turn the terminal into a key dual-use logistics hub for both civilian and defence purposes. Once completed, the site is expected to become one of Lithuania’s most important military mobility hubs, part of a push to increase the country’s and the wider region’s readiness to receive and handle NATO military cargo.
The project involves the expansion of Palemonas’ loading and storage areas while adding and extending tracks for both 1 435 mm and 1 520 mm operations. In future the site will serve as a transfer point between the Rail Baltica standard gauge corridor connecting the Baltic states with Poland and the Soviet-inherited 1 520 mm broad gauge used in the region.

LTG Infra is leading the €37.4m project, providing design, expert assessment, construction and technical supervision services, with the main works being undertaken by Lithuanian contractors Gevalda and Kauno Keliai and technical supervision company Statybų Techninė Priežiūra.
Construction was formally launched on May 16, with a time capsule ceremony attended by Lithuania’s transport and defence ministers, alongside LTG Group executives and contractors.
‘By investing in military mobility today, we are investing in Lithuania’s security, readiness and even closer co-operation with our allies’, said Defence Minister Robertas Kaunas. ‘The Palemonas loading yard will ensure that Lithuania is ready to quickly receive allied forces, effectively co-ordinate logistics and strengthen the resilience of NATO’s eastern flank.’
Heavy-duty loading yard
The works are split into two main parts. The first covers the construction and renovation of a reinforced-surface loading yard of around 36 000 m², equivalent to about five football pitches.
The yard will be able to handle cargo weighing up to 100 tonnes and vehicles weighing up to 120 tonnes. In total, around 46 000 m² of hard surfaces will be constructed or renovated.

This part of the project also includes the construction of two 1 435 mm gauge tracks and one 1 520 mm gauge track with terminal ramps. Utility networks, site security systems, and noise and vibration mitigation measures will also be installed.
The second part of the project will cover the expansion of standard-gauge infrastructure at Palemonas. Three new tracks with a minimum usable length of 750 m will be built, while three existing tracks will be extended to the same length.
In total, around 5.5 km of tracks will be reconstructed and 12 turnouts installed, alongside the renovation and installation of utility networks. Building Information Modelling is being used to support design and construction management.
NATO cargo transfer
LTG said the expanded terminal would be particularly important for NATO military cargo arriving on European standard-gauge tracks and then moving deeper into the Baltic logistics network, including towards Latvia, Estonia and the Baltic Sea port of Klaipėda. The added capacity is also expected to support the deployment and logistics needs of a German brigade being stationed in Lithuania.
Arūnas Rumskas, acting CEO of LTG Group, described the Palemonas expansion as ‘a strategic step’ that would strengthen Lithuania’s readiness to receive large flows of military cargo and bring its rail logistics closer to NATO standards. ‘This is an investment that is equally important for both national defence and civilian logistics’, said Rumskas.
Transport Minister Juras Taminskas linked the project to the wider role of rail in crisis planning. ‘Railways are particularly important for both civilian evacuation and the rapid movement of military forces across Europe’, he said, adding that investment in Palemonas would bolster Lithuania’s role in Baltic regional security.
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