CIMIC’s UGL awarded $500m contract to support defence department’s fuel network

UGL, a member of the CIMIC Group, has won a contract with the Department of Defence to provide strategic advice, planning, supply management, operations, and maintenance for the Australian Defence Force’s (ADF) fuel network.

The contract will generate approximately $500 million in revenue for UGL over six years, with options for performance-based extensions through to 2035.

UGL will provide all operations and maintenance services throughout the Defence Fuel Network nationally, as well as strategic asset advice and assurance services, and management and coordination of ADF’s fuel supply requirements across Australia.

More than 350 jobs are expected to be supported by the works, as well as career opportunities for apprentices through new apprentice schemes. There will also be opportunities for local suppliers.

CIMIC Group Executive Chairman Juan Santamaria said: “CIMIC Group companies have delivered significant projects and services across major army, air force and naval bases throughout Australia, including some of the nation’s most complex infrastructure and warship refit and repair services.

“We are pleased to further strengthen our partnership with ADF by bringing together this experience with UGL’s capabilities in energy, resources, logistics, operations and maintenance to deliver an effective and collaborative solution.”

UGL Managing Director Doug Moss said: “UGL’s history in Australia dates back to 1899. Since then, we have grown to become a leader in many of the markets where we operate. UGL’s expertise and nation-wide presence allows us to provide a resilient and capable fuel network for ADF. We look forward to continuing our strong relationship with the ADF to provide a safe and reliable service for Australia.

“I’m pleased that we’ll be able to offer local supplier and employment opportunities across the country, as well as continuing our commitment to increase Aboriginal and Torres Strait Islander employment and supplier engagement.”

The contract will commence in August.