Downer awarded $1bn train maintenance contract

Rail freight business Pacific National has awarded engineering firm Downer a $1 billion contract to provide maintenance services to 300 of the Asciano subsidiary’s train fleet.

Downer chief executive Grant Fenn said the company would provide a full suite of asset management services.

“This includes a range of scheduled and unscheduled maintenance services and a 24-hour fleet control centre,” he said.

The contract is under a 10-year agreement.

Mr Fenn said features of the agreement include remote monitoring of the assets and inspections while in service to “ensure more locomotives are available for service, the locomotives are out on the tracks for longer hours and that they run at higher levels of reliability”.

Downer's first-half results will be released tomorrow.

Shares in Downer were 5.1 per cent higher at $4.49 per share at 9:30am.