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Downer EDI Limited (ASX:DOW) has been awarded a rolling stock contract for the supply of locomotives to BHP Billiton Limited (ASX:BHP, NYSE:BHP) Iron Ore in the Pilbara for the next five years.
The contract has a core value of almost $300 million, although it could be worth more than $400 million with options offered.
The first locomotives are expected to be delivered in the second quarter of this year.
Downer reported a half year net profit to December, 2011 of $85 million.
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