NRW Holdings has confirmed a contract at BHP Billiton's Port Hedland inner harbour expansion project has been "reduced", but the engineering and contracting group is not expecting any hit to full-year earnings.

NRW announced today that the Fluor and SKM joint venture with BHP had cut back works at Port Hedland's Nelson Point, resulting in between $75 million and $80 million being removed from the total contract.

The announcement follows NRW's admission earlier this month that capital spending cutbacks in the Pilbara by Fortescue Metals Group would result in a $100 million hit to its full-year revenue.

NRW said, at the time, that it expected revenue to come in at $1.2 billion for the 2013 financial year, down from previous forecasts of $1.3 billion.

In good news for the contractor, NRW won a $133 million contract with Rio Tinto at Cape Lambert almost a fortnight ago.

At 1:30PM, WST, NRW stocks were down 4.2 per cent, trading at $2.24.