Verbrec Ltd (ASX:VBC) has secured about $16 million in new energy security contracts across Australia, including a $6.8 million Queensland gas pipeline project, taking its total energy security project awards since the start of the financial year to more than $36 million.
The latest awards span pipeline engineering, construction, operations and maintenance, compression, automation and cyber security work across Queensland, the Northern Territory, Victoria, South Australia and Western Australia.
Together with the previously announced bi-directional project for Power and Water Corporation, Verbrec’s energy security awards now cover seven clients across Australia and Papua New Guinea.
$6.8 million Queensland pipeline contract
The largest of the new awards is a $6.8 million contract to undertake engineering, procurement and construction work for the first in-line inspection of a 150-kilometre gas pipeline in southern Queensland.
Verbrec’s scope includes detailed engineering, procurement, fabrication and construction of a bypass line, as well as pig launcher and receiver facilities across three sites.
The company will then conduct cleaning, gauging and intelligent pigging runs to assess the internal condition of the pipeline.
The fixed lump-sum contract is scheduled for completion by March 31, 2028.
Further pipeline and operations work
Verbrec has also secured about $8.8 million across a series of other energy security projects.
These include a $2.7 million appointment as owner’s engineer for a pipeline realignment project in South Australia, covering design assurance, safety and hazard reviews, factory acceptance testing and site surveillance during an expected 14-month construction phase.
The company has also secured $3.2 million in operations and maintenance contracts covering reactive maintenance in the Northern Territory and Queensland, together with a two-year extension to operate and maintain four pipelines in Victoria.
Verbrec currently operates more than 2,000 kilometres of gas pipelines across Australia, with these multi-year contracts providing recurring revenue.
Automation and cyber security awards
Verbrec’s wholly owned subsidiary Alliance Automation has secured about $1.6 million in electrical, control system and operational technology cyber security projects for energy companies in Queensland.
The work includes cyber security upgrades, motor control centre design and supply, control system engineering and migration of a SCADA system for gas assets near Roma.
The company said this type of cyber security work has recurring potential as regulatory obligations and the threat environment continue to evolve.
Verbrec has also started $1.3 million of early-stage design work on compression and pipeline projects in Western Australia, including detailed design, pipeline licensing advice, environmental studies and landholder engagement.
Biomethane study completed
Separately, Verbrec has completed the Western Australian Biomethane Potential Study for the Department of Primary Industries and Regional Development.
Verbrec was lead author of the study, which assesses the amount of renewable gas that could potentially be produced from waste, sewage and crop residues in Western Australia, as well as the economics and requirements for developing initial projects.
The work builds on Verbrec’s previous involvement in renewable gas projects in Australia and New Zealand.
About Verbrec
Verbrec is an engineering and digital transformation company providing integrated services across the full life cycle of energy and infrastructure assets.
The company operates across the mining, energy, water and defence sectors in Australia and the Pacific, providing engineering, construction, operations, maintenance, automation and cyber security services.