NRW Holdings subsidiary Fredon has secured a roughly $115 million off-site fabrication package for Stack Data Centre MEL03 in Melbourne. The award is the first stage of a broader package valued at approximately $300 million, although the full amount remains tied to Fredon’s preferred-contractor status.
- $115 million first-stage mechanical package awarded to Fredon
- Off-site fabrication runs from September 2026 to March 2028
- Works support 432MW of Stack’s 864MW hyperscale campus
- Fredon remains preferred contractor for a broader $300 million package
- No margin, cash-flow or earnings contribution disclosed
Fredon secures first-stage MEL03 award
NRW Holdings Limited (ASX:NWH) has added a roughly $115 million data centre contract to its order book, with subsidiary Fredon awarded the first stage of the Design and Construct Mechanical scope for Stack Data Centre MEL03 in Melbourne.
The work is specifically for off-site fabrication of mechanical systems. It is scheduled to begin in September 2026 and finish by March 2028, giving Fredon a sizeable multi-year project rather than a short-duration construction assignment.
Mechanical systems for 432MW campus
The package will support delivery of mechanical systems to 432MW of the planned 864MW hyperscale data centre campus. The announcement describes the award as building on Fredon’s previous project work for Stack Data Centres in Melbourne, while CEO Jules Pemberton said the contract reinforced Fredon’s ability to deliver complex scopes.
Melbourne’s growing role in hyperscale data centre development gives the award a clear thematic angle for NRW. Fredon sits within NRW’s EMIT division, which provides electrical, mechanical, infrastructure, technology and maintenance services, allowing the group to participate in a segment that demands specialised construction and engineering capabilities.
Broader $300 million package remains conditional
The more consequential figure is the approximately $300 million total package that Fredon is expected to deliver as preferred contractor, with completion scheduled for 2028. However, the filing confirms the $115 million first-stage award; it does not present the entire $300 million as fully contracted revenue.
NRW gives no margin, cash-flow or profit contribution for the work. The next material milestones are therefore execution of the awarded fabrication scope and any conversion of the remaining preferred-contractor work into binding awards.
Bottom Line?
The $115 million award is firm; the larger $300 million opportunity still depends on the preferred-contractor scope progressing into fully awarded work.
Questions in the middle?
- How much of the broader $300 million package will be converted into binding contracts?
- What margins will Fredon generate from the off-site fabrication and wider mechanical scope?
- Will further Stack awards expand NRW’s data centre pipeline beyond MEL03?