McConnell Dowell Constructors is drilling an underground tunnel north of Auckland, from the Watercare Pump Station off Millwater Parkway at Orewa to subdivisions north of Grand Drive.
The machine arrived this month and drilling was to start immediately.
Michael Buckland, McConnell Dowell construction manager, said the business would lay 3.15km of wastewater pipeline for Watercare using microtunnelling trenchless technology.
The wastewater will flow through the pipeline via gravity offering big advantages during construction and operation in terms of safety and environmental and community impact, Buckland said.
Children at Silverdale Primary School named the Millwater tunnel boring machine Nancy after the New Zealand-born World War II hero Nancy Wake. According to tunnelling tradition throughout the world, a tunnel boring machine cannot start work until it is given a name. Just like Alice at Waterview, the new Millwater machine was to be given a woman's name as a sign of good luck for the project. Local primary school children from Kingsway, Silverdale and Orewa Primary Schools were all given the opportunity to enter a competition to name the machine, researching famous New Zealand women in history for inspiration.