-- Duratec (ASX:DUR) has secured a AU$281 million defense infrastructure contract at HMAS Stirling in Western Australia through its 50:50 Duratec-Ertech joint venture, strengthening orderbook visibility and reinforcing its position in AUKUS-linked infrastructure delivery, Euroz Hartleys said in a Wednesday note.
The contract upgrades Diamantina Wharf on Garden Island for AUKUS submarine capability, lifting total investment to just under AU$300 million after AU$14 million in early works, with delivery expected over about 24 months from early contractor involvement (ECI) to full execution.
The firm said the award is a material defense contract win that validates the company's ECI-led delivery model, enhances two-year order book visibility, and strengthens its defense infrastructure exposure, supporting medium-term earnings growth.
The firm flagged the award as a positive catalyst, reinforcing confidence in a strong full-year pipeline and the company's ability to convert opportunities into contracts, with a robust pipeline of infrastructure and facade work across multiple states.
Euroz Hartleys maintained its buy rating on Duratec and raised its price target to AU$3.09 from AU$2.57.