Decmil preferred for NZ prison work

Decmil Group has been earmarked for a $NZ60 million ($A56 million) construction contract for work at two prison sites in New Zealand.

Perth-based Decmil will design, procure and install modular prison cells at the prisons under the contract with NZ Corrections, with final contract negotiations to be wrapped up by the end of the month.

“The appointment as preferred contractor for this project with NZ Corrections follows an extensive design period where we have developed an innovative and high-quality product,” chief executive Scott Criddle said.

“Correctional services is a key target market for Decmil as we already have an established presence in defence in both Australia and New Zealand, and in immigration.”

Decmil last week cut its full-year revenue forecast for the second time this year, and foreshadowed a trading loss in its H2 FY17 results along with further impairments.

Shares in Decmil were 2.3 per cent higher to 87 cents each at 10am.