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WestStar Industrial (ASX:WSI) subsidiary wins $2M contract on WestConnex Project

Industrial
ASX:WSI      MCAP $13.84M
09 June 2020 18:00 (AEST)

WestStar Industrial’s (WSI) subsidiary, SIMPEC, has been awarded a new contract for the WestConnex New M5 Project in Sydney, New South Wales.

This contract was awarded by the CPB Dragados Samsung Joint Venture and has an estimated value of roughly $2 million and will span an initial four months.

The WestConnex New M5 Project will include the King Georges Road Interchange Upgrade, New M5 twin tunnels, and the St Peters Interchange.

These upgrades are set to double capacity, significantly reduce travel time and allow better air circulation through the M5 tunnels by further diluting vehicle emissions and improving in-tunnel air quality.

“This new infrastructure scope will open new avenues for the business on the east coast of Australia. This is a new client for SIMPEC and I would like to thank the CPB Dragados Samsung JV team for backing our SIMPEC team,” SIMPEC Managing Director Mark Dimasi said.

WestStar claims its subsidiaries, SIMPEC and Alltype Engineering, have been strong contenders for new work.

SIMPEC has reportedly delivered record performance in the 2020 financial year and Alltype expects to see an encouraging full year performance in the upcoming financial year.

WestStar CEO, Robert Spadanuda is also pleased with how the company responded and adapted to challenges presented by COVID-19.

“SIMPEC now has an exciting new project in Sydney and both SIMPEC and Alltype continue to deliver on increased tender pipelines,” Robert said.

“No existing contracts were suspended or cancelled during this challenging period group wide and it is a credit to all teams for working their way through these challenges with their respective client,” he added.

Company shares are up 7.14 per cent and trading for 1.5 cents each at 1:07 pm AEST.

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