Downer secures A$3.05 bn Australian Defence contract

Downer EDI Limited (Downer) has been awarded a new contract with the Australian Department of Defence, valued at approximately A$3.05 billion over an initial six-year term. The Property and Asset Services (PAS) contract, a component of Defence's Base Services Transformation program, is set to commence in February 2026 and will run until 2032. The agreement includes two extension options of one to three years each, potentially extending the total contract term to 10 years.

Under the new PAS contract, Downer will be responsible for base and estate facilities maintenance, aerodrome operations, land management, training area, range management, and integration services. This expanded remit covers the combined New South Wales and Australian Capital Territory region, as well as the Queensland region, significantly increasing Downer's geographical footprint from its current Estate Maintenance and Operation Services (EMOS) contract to include two of Defence's largest regions.

Peter Tompkins, chief executive officer of Downer Group, highlighted Downer's more than 80-year history as a Defence partner, providing sustainment, infrastructure, and estate services. He also emphasized Downer's commitment to leveraging its supply chain of over 900 small and medium enterprises to deliver vital services, drive efficiencies, and improve environmental outcomes across more than 30 major Defence bases.