MEL2 contract award lifts SKS Technologies’ project value to $66 million
SKS Technologies Group Limited (ASX: SKS) has been awarded an additional $38 million of works with Built for the next stage of the MEL2 data centre project in Melbourne’s northwest.
The award builds on the $28 million of early works announced on 14 July 2026, taking the total project value to $66 million. Current work on hand now sits at $270 million.
The additional work comes from the same developer. SKS Technologies Chief Executive Officer Matthew Jinks said the repeat award reflects the client’s view of the company’s delivery capability.
Matthew Jinks, Chief Executive Officer
“Winning further work from the same developer demonstrates confidence in our workmanship, reliability and ability to deliver critical and complex electrical infrastructure on time and to specification…”
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What the additional MEL2 scope covers
The additional scope of works relates to inground services and cold shell works. The announcement lists five items:
- Supply and installation of high voltage, low voltage and inground communications infrastructure, facilitating early works and enabling subsequent structural construction activities
- Supply and installation of 22kV cabling from the substation to Shell A
- Installation of 22kV switchroom equipment
- Cold shell fit-out of the Shell A building, incorporating lighting, power distribution, earthing and cable support systems
- Internal fit out of the client’s technical space, including offices, stores, amenities and communications rooms
The table below shows how the two awards combine.
| Stage | Value | Announced |
|---|---|---|
| Early works | $28 million | 14 July 2026 |
| Additional works | $38 million | 6 October 2026 |
| Total MEL2 | $66 million | Combined |
Data centre electrical infrastructure explained
A “cold shell” generally refers to the building structure and its core services before tenant-specific equipment is installed. In this case, the cold shell works cover Shell A, including lighting, power distribution, earthing and cable support systems.
High voltage infrastructure, such as the 22kV cabling and switchroom equipment in the scope, carries electricity from the substation into the facility. Data centres depend on this kind of power delivery, which makes the electrical scope a central part of the build.
For investors, the complexity of this work is relevant. The announcement describes the infrastructure as “critical and complex”, and the award of further work to SKS Technologies reflects the client’s confidence in the company’s delivery.
Repeat work and a growing pipeline
Repeat awards from the same developer can indicate client confidence and support a contractor’s reputation on major projects. Mr Jinks said the win builds the company’s reputation “more broadly as a trusted partner on major projects across the industry.”
Work on hand sits at $270 million following the additional award. The company also pointed to a “robust and growing tendered pipeline” and a client base that “keeps returning.”
On that basis, SKS says it is well placed to grow work on hand as the timing of new awards falls into place, supporting continued growth.
The company’s record FY26 revenue of $347.93 million and its $500 million FY27 revenue target give the work on hand figure more context, with a debt-free balance sheet and a growing data centre pipeline behind it.
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