Paladio wins $57m BHP village contract

Paladio Group has confirmed a $57 million contract to design and construct an accommodation village in Port Hedland for BHP Billiton.

The announcement is below:

Paladio Group Limited (ASX:PDO) is pleased to advise that its wholly owned subsidiary Decmil Australia Pty Ltd has concluded negotiations on the letter of intent previously announced and has now been awarded a $57 million contract by BHP Billiton to design and construct the central facilities for the new Port Haven accommodation village in Port Hedland. The contract also includes completion of civil and infrastructure works and installation of 350 accommodation rooms.

The COO of Paladio, Mr Scott Criddle highlighted that "this latest contract award puts the Paladio Group in a strong position to start the next financial year having secured a forward order book of approximately $160 million for the 2010 FY".

"Decmil has built a strong reputation for engineering construction, maintenance and industrial services over its 30-year history, and continues to consistently win contracts with blue chip resource companies."

"In the current competitive environment, it is pleasing that Decmil's reputation for excellence in delivering clients value across all areas of engineering and construction projects continues to be recognised," Mr Criddle said.

This contract adds to Decmil's current project portfolio which includes work on three significant contracts for Woodside's Pluto LNG Gas Project, BHP Billiton's Rapid Growth Project 5 project, and Rio Tinto's Brockman iron ore project.