CIMIC Group (ASX:CIM) awarded $128 million in contracts : Aus shares 1.2% higher at noon

Market Reports

by Ortenzia Borre

The Australian share market opened higher this morning and is now trading 1.2 per cent up at noon. James Hardie (ASX:JHX) is leading the top 200 gains at midday, up over 5 per cent, with Mesoblast (ASX:MSB) coming in last.

The S&P/ASX 200 index is 72 points higher at 6,182. On the futures market the SPI is 64 points up. 

Company news 

CIMIC Group’s (ASX:CIM) CPB Contractors has been awarded two contracts worth $128 million for resources and water projects located in Western Australia and Queensland. The contracts are The Iron Bridge Magnetite Project, a joint venture between Fortescue Metals Group (ASX:FMG) subsidiary FMG Iron Bridge and Formosa Steel IB, and Sunwater, a Queensland Government-owned water service provider, for works at Paradise Dam near Bundaberg. Work commenced in May to lower the spillway with ancillary works to be completed into 2021. CIMIC Group Chief Executive Officer Juan Santamaria says the range of work being won by CPB Contractors demonstrates the extent of the capability the company provides to clients to produce reliable, safe and efficient outcomes. Shares in CIMIC Group (ASX:CIM) are trading almost 5 per cent higher at $23.83.

Best and worst performers 

The best-performing sector is Financials, adding just over 2 per cent, while the worst performing sector, and the only sector in the red, is Information Technology shedding 1.6 per cent. 

The best performing stock in the S&P/ASX 200 is James Hardie (ASX:JHX), rising 5.3 per cent to $31.76, followed by shares in Flight Centre Travel Group (ASX:FLT) and CIMIC Group (ASX:CIM)

The worst performing stock in the S&P/ASX 200 is Mesoblast (ASX:MSB), dropping almost 21.8 per cent to $3.81, followed by shares in Challenger (ASX:CGF) and Perseus (ASX:PRU)

Commodities and the dollar 

Gold is trading at US$2,022 an ounce. 
Iron ore price is steady at US$119.21.
Iron ore futures are pointing to a rise of 3.7 per cent. 
One Australian dollar is buying 71.68 US cents. 
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