East Perth-based VDM Group Ltd, through its subsidiary Keytown Constructions, has been awarded a $13 million contract by Fortescue Metals Group to build 24 houses in South Hedland.
The houses, which have been designed by VDM Ultrabuild, are all cyclone-rated and have an energy efficiency rating of at least 6.5. Of the 24 houses to be completed, 14 have a 4 bedroom, 2 bathroom configuration and 10 houses have a 3 bedroom, 2 bathroom configuration.
The building licence application has been submitted to enable construction to commence in the first week of July 2008. The first 12 houses are scheduled to be completed by 31 December 2008 with the balance to be completed by 30 April 2009.
VDM Ultrabuild General Manager, Paul Carter, said: "This project will provide VDM Ultrabuild with a solid base to grow from in the Hedland region. Over the past six months VDM Ultrabuild has completed 30 houses in outer regional Perth and Kalgoorlie."
Commenting on the project, VDM Group Chief Operating Officer, Mark Nagle, said: "Being awarded this housing contract is further confirmation of the market's acceptance of VDM Ultrabuild's low-cost, fast-building housing alternative. VDM Ultrabuild is able to offer an integrated design and construction process utilising the Quikloc Building System which provides significant customer benefits, particularly for remote housing applications."
Meanwhile VDM said today in a statement today that it was in negotiations with four prospective engineering consultancy practices over a number of acquisitions.
VDM said it was likely that the first of the acquisitions will be completed next month while the remainder, if they proceed, will be completed by the end of the year.
Any acquisition will comprise a mixture of scrip and cash.
