Downer EDI buys Western Construction

Engineering giant Downer EDI will expand its presence in WA's burgeoning LNG sector with the purchase of Kwinana-based Western Construction.

Western Construction has an annual turnover of $60 million from its services to the oil and gas, mining and heavy industrial sectors.

"The acquisition of Western Construction enhances our mechanical construction and maintenance capabilities and further strengthens our ability to capitalise on the significant growth opportunities emanating from the energy and resource sectors, particularly the LNG and iron ore markets in Western Australia," Downer Group chief executive Geoff Knox said.

Western Construction has operated in WA for 35 years.

Downer EDI shares were up 38 cents, or 4.79 per cent, to $8.32.