Duratec Limited Wins $70 Million in Contracts Across Energy, Marine, and Mining Sectors

Duratec to Manage Construction at Orica's Hunter Valley Hydrogen Hub

Duratec has been awarded the construction management contract for Orica's Hunter Valley Hydrogen Hub (HVHH), marking a significant step into future energy and fuel infrastructure markets. This project is a strategic milestone supporting Australia's energy transition and industrial decarbonisation efforts. The contract leverages Duratec's recent acquisitions in the Hunter Region, providing local workforce, supply chain access, and delivery capabilities within this critical energy corridor.

Managing Director Chris Oates emphasized that this award reflects Duratec's expansion into the energy and decarbonisation sector, enabled by its new Hunter Region presence. The project allows Duratec to support complex hydrogen infrastructure development by combining self-performed services with integrated local capabilities, extending beyond its traditional remediation and refurbishment services.

Perth Airport Jet Fuel Expansion Program Early Contractor Involvement Services

In a 50:50 joint venture with West Coast Civil (DWJV), Duratec has secured a contract to provide Early Contractor Involvement (ECI) services during the design phase of Perth Airport's Jet Fuel Expansion Program (JFEP). The scope includes designing fuel farm facilities and hydrant line infrastructure for Perth Airport Pty Ltd. The ECI phase is set to begin immediately and last approximately six months, laying the groundwork for potential future construction contracts.

Chris Oates noted the strategic importance of the Perth Airport ECI contract, which could lead to additional downstream work packages. These opportunities may generate significant value across Duratec's subsidiaries through its integrated capabilities. The aviation fuel infrastructure sector represents a growing market aligned with increased investment in airport infrastructure and fuel supply resilience in Australia.

Fremantle Ports Kwinana Bulk Jetty Remediation and Upgrade

Duratec has been awarded a wharf infrastructure remediation contract by Fremantle Port Authority for the Kwinana Bulk Jetty (KBJ) upgrade in Western Australia. The KBJ is a vital maritime logistics hub facilitating bulk cargo and liquid imports and exports. Duratec's scope includes design, construction, and commissioning of cathodic protection and concrete repairs to extend the asset's operational life.

The project starts immediately and is expected to run for about 30 months, representing a significant engagement in Western Australian marine infrastructure. This award underscores ongoing demand for Duratec's specialist remediation and infrastructure expertise in the marine sector. The long duration offers revenue visibility and stability over multiple years.

Rio Tinto Gove Structural Integrity Remediation and Northern Territory Expansion

Duratec secured the Gove Structural Integrity Remediation Services project at Rio Tinto's bauxite export facilities in Nhulunbuy, Northern Territory, under a new three-year Master Service Agreement (MSA). The contract includes remediation and structural strengthening of wharf infrastructure to maintain operational continuity. The initial work package is scheduled to start in June 2026 and complete by late 2026.

This contract highlights ongoing demand for Duratec's remediation and structural engineering services in mining and industrial sectors. The MSA framework allows for potential additional work beyond the initial scope, deepening Duratec's relationship with Rio Tinto. This project also expands Duratec's geographic footprint in the Northern Territory, complementing its national presence.

Duratec's Multi-Sector Expertise and Diversified Portfolio

Duratec Limited is a leading Australian contractor offering assessment, protection, remediation, and refurbishment services across diverse assets and infrastructure. Combining engineering expertise with project delivery and advanced in-house assessment technologies such as 3D capture and predictive analytics, Duratec operates nationwide from its Wangara, Western Australia headquarters. Its services span Defence, Commercial Building & Facade, Infrastructure (Water, Transport & Marine), Mining & Industrial, Power, and Energy sectors.

The recent contract awards illustrate Duratec's broad capabilities and ability to operate across varied sectors and project types. The mix of energy infrastructure (Orica hydrogen hub and Perth Airport fuel), marine and port infrastructure (Fremantle Ports and Rio Tinto Gove), and mining engagements demonstrates a diversified revenue base, reducing reliance on any single sector or client. Managing Director Chris Oates stated these awards "highlight the breadth of our capabilities and position Duratec to capture further opportunities across both established infrastructure markets and emerging energy markets."

Strategic Positioning in Australia's Energy Transition and Hydrogen Market

The Hunter Valley Hydrogen Hub contract positions Duratec at the forefront of Australia's energy transition and emerging hydrogen economy. The Hunter Region in New South Wales is recognized as a strategic energy corridor with existing industrial infrastructure, skilled labor, and increasing hydrogen production and export investments. Duratec's acquisitions in this area establish it as a capable local contractor with integrated service delivery for complex hydrogen infrastructure projects.

This project aligns with Australia's industrial decarbonisation goals and growing hydrogen market demand. Duratec's involvement enhances its credentials in this emerging sector, complementing its traditional remediation and maintenance services with new infrastructure development capabilities.

Hunter Region Acquisitions Boost Local Capacity

Duratec's recent acquisitions in the Hunter Region have established a local workforce, supply chain access, and delivery capacity critical for this energy corridor. These acquisitions enable Duratec to self-perform work across project lifecycles and maximize value from complex infrastructure contracts. The strategic benefit is demonstrated by winning the Orica Hunter Valley Hydrogen Hub contract, leveraging the regional presence.

By integrating local capabilities through acquisitions, Duratec can deliver complex projects combining self-performed work with locally sourced labor and supply partnerships. This reduces reliance on subcontractors, improves quality control, and captures value across the service delivery chain. The company has not disclosed acquisition details such as values or timing.

Contract Timelines and Project Start Dates

The four contracts provide clear schedules for project commencements and durations. The Perth Airport Jet Fuel Expansion Program ECI phase begins immediately, lasting about six months, establishing near-term activity and revenue. The Fremantle Ports Kwinana Bulk Jetty project also starts immediately with an expected 30-month duration, offering extended revenue visibility into 2026 and beyond.

The Rio Tinto Gove Structural Integrity Remediation project’s initial package is set to start in June 2026 and finish by late 2026, within the broader three-year MSA framework. These staggered start dates and extended durations provide layered revenue recognition across multiple quarters and fiscal years. Detailed financial phasing and revenue recognition specifics remain undisclosed, pending further updates.

Financial Impact and Outlook

The approximately $70 million in combined contract awards significantly expands Duratec's secured backlog, providing revenue visibility through 2026 and beyond. The 30-month Fremantle Ports project offers long-term contract security, while the three-year Rio Tinto MSA allows for additional potential work packages. The company has not detailed the allocation of the $70 million among contracts or provided guidance on profitability and margins.

Managing Director Chris Oates indicated that the Perth Airport ECI contract could lead to downstream work delivering "broader and more meaningful value across the Group," suggesting the disclosed contract values may understate the full financial opportunity. Immediate share price effects were not evident publicly. Investors should monitor upcoming earnings and operational reports for detailed financial insights.

Risks and Market Considerations

Although these contract awards demonstrate strong demand for Duratec's services, project-based revenue models carry risks such as cost overruns, schedule delays, and client changes that could affect profitability. The company operates in competitive sectors including marine infrastructure, mining services, and emerging energy infrastructure, where pricing pressures and competitor activity may impact margins. Commodity price fluctuations, mining production changes, and broader economic factors could influence client demand.

Duratec's hydrogen infrastructure expansion aligns with energy transition trends but involves technology and market timing risks. Hydrogen project development, policy support, and commercial viability remain evolving. The Hunter Region acquisitions represent capital investments requiring successful project execution to generate returns. Comments on potential downstream Perth Airport work highlight execution risks if additional contracts are not secured.