Downer (ASX:DOW) Surged on Expected A$3Bn Fortescue (ASX:FMG) Contract

Shares in Downer EDI Ltd (ASX:DOW) surged after the engineering and infrastructure company Friday said it had been awarded preferred tenderer status on a A$3 billion six-year contract with Fortescue Metals Group (ASX:FMG).

Downer EDI is expected to provide mining services at Fortescue's Christmas Creek operation in the east Pilbara region of Western Australia. Contract negotiations for the project are still to be completed, but are expected to be finalised in June. The project is scheduled to commence in July.

The contracted services will include the establishment of infrastructure, drill and blast, load and haul overburden, and an expected BCM of 343m over a six-year period.


Related Companies

Fortescue Metals Group Ltd
         

Downer EDI Limited