Work on the contract is scheduled to start in May and continue for 12-18 months.

“This is a significant win for Engenco, demonstrating our considerable expertise in the rail industry,” Engenco managing director Ross Dunning said.

“Our Momentum business has been able to capitalise on our existing relationships at the Roy Hill project and provide a tailored solution to meet John Holland’s needs.

“This contract provides us with significant opportunities to increase our services to John Holland Group and Roy Hill, and we look forward to helping develop this large iron ore project.”

The new work is the third contract Engenco was won at Roy Hill.

Its specialist training business, Centre for Excellence in Rail Training, was previously awarded two contracts as preferred supplier of rail training to Samsung C & T and John Holland.

The 18 month contracts, worth around $750,000, were signed in October and January.

The training work involves development of a construction rule book for stages one and two, and development and rollout of railroad verification of competency tools.

It will also provide rule book training to Roy Hill, Samsung and other employees and subcontractors.

Shares in Engenco were last trading 15.1% higher at 19c.