NRW Holdings has won $64 million worth of new contracts from Fortescue Metals Group’s subsidiaries and has completed an acquisition.
NRW Holdings’ shares were up after the company announced the completion of an acquisition and $64 million worth of new contracts from Fortescue Metals Group’s subsidiaries.
At market close, NRW shares were up 5.24 per cent to $2.21 after it announced the completion of a $4 million acquisition of Bunbury-based electrical engineering company OFI Group Holdings.
OFI specialises in industrial electrical engineering, automation, switchboard design and manufacture, instrumentation and design and construction within multiple sectors.
The acquisition will enhance NRW’s METS division, which includes its subsidiaries RCR Mining Technologies, DIAB Engineering and Primero Group, according to the company.
The deal is expected to generate $40 million worth of revenue in the next financial year.
On the ASX, the firm announced its subsidiary. DIAB Engineering. had been awarded a $30 million contract from FMG’s joint venture IB Operations.
DIAB will provide crusher and supporting infrastructure maintenance works at Iron Bridge project in the Pilbara.
The scope of work is expected to be completed over three years and is set to commence in May.
NRW subsidiary RCR Mining Technologies secured a $34 million contract from FMG subsidiary Chichester Metals.
The scope of work includes the design and construction of a primary crushing facility for the Christmas Creek Hall Hub development project in the Pilbara.
RCR will partner with Primero Group, which will provide engineering support and construction services.
The contract comes after NRW delivered the Hopper 10 crushing facility at FMG’s Cloudbreak mine in the Pilbara earlier in 2022.
“I am delighted to announce that RCR and DIAB have been awarded these contracts with Fortescue Metals Group, building on their relationships and showcasing their expertise in that sector,” NRW chief executive Jules Pemberton said.
“I would also take the opportunity to welcome OFI into the NRW METS division and utilising the capabilities they will bring to the group.”
In February, NRW secured a $24 million contract from aspiring miner Bellevue Gold for work at its nameplate project in the northern Goldfields.
