Duratec wins $50m airport contract

Engineering and construction company Duratec has secured work on Sydney’s new $5.3 billion international airport through a subcontract with Multiplex Constructions.

The property giant, which was appointed to the government-funded project in June, has tasked Duratec with delivering the first stage of the airport’s aviation fuel reticulation network.

The contract is worth $50 million and boosts Duratec’s order book to $315 million.

Duratec expects the contract will generate strong revenue for the Wangara-based business in the second half of fiscal 2022 and into FY23.

Managing director Phil Harcourt said the company had been seeking opportunities in Australian fuel infrastructure upgrades since establishing its energy division in 2018.

“This major award is testimony to the reputation this team has earned via an excellent understanding of the brief both technically and operationally,” he said, while noting Duratec will partner with key suppliers to complete the work.

“This project aligns with the strategic objectives of sustainably growing and developing the business through specialised service offerings to a range of sectors.”

Duratec's energy-related services include durability engineering, asset protection, infrastructure upgrades and specialist access systems.

Mr Harcourt added Duratec was confident in the ongoing growth of its other key sectors including defence, mining and industrial, construction, and ports and transport.

“There are currently $650 million of tendered works across the group within the $1.9 billion pipeline of opportunities in our sights,” he said.

Fellow Perth contractor Southern Cross Electrical Engineering is also working on the Western Sydney International Airport, under a $100 million contract awarded from Multiplex at the start of the month.

The airport's project team also includes designers Woods Bagot and Cox Architecture, engineering company Arup and specialist aviation consultant Airbiz.

Terminal construction is due to start later this year, with the $5.3 billion airport scheduled to be operational in late 2026.

Duratec's shares spiked 14 per cent this morning to trade at 42 cents, before retreating to 37 cents at 1:30pm AEDT, the same as Thursday's close.