SIBS secures second major Port Hedland project as Australian modular pipeline expands

Swedish modular construction company SIBS AB has secured a second major development project in Port Hedland, Western Australia, adding further momentum to the company’s expanding Australian pipeline. (main image: Production lines inside the SIBS modular construction facility in Malaysia, where volumetric modules are manufactured for international residential and hospitality projects, including developments planned for Australia.)

The agreement, signed through its Malaysian subsidiary SIBS Sdn Bhd, will see the company undertake the design and construction planning for a 302-room modular hotel development located on the Port Hedland coastline. The project will comprise two buildings of six and five storeys, designed to support rising accommodation demand in the Pilbara region driven by resource sector activity and workforce mobility.

SIBS will manufacture the volumetric modular units from its facilities in Penang, Malaysia, supplying the project in partnership with a local Australian principal contractor. The design phase is expected to conclude in March, after which a final supply agreement will be executed. Production is scheduled to begin in summer 2026, with completion and handover anticipated by the end of that year.

Lawrence Chua, Executive Director of SIBS Malaysia, said the award followed a detailed evaluation process conducted by the developer.

“We are very pleased to have completed a thorough and professional evaluation process led by our customer and are honoured to be selected for this project. This is yet another confirmation of how our industrialised product and integrated system can support developers and enhance efficiency across the industry. Our partner has a strong track record across multiple developments, and we look forward to a successful project together,” he said.

Growing SIBS Australia pipeline

The Port Hedland hotel adds to a series of recent Australian wins for the Swedish modular manufacturer, signalling increasing developer interest in offshore-manufactured volumetric systems.

SIBS first entered the Australian market in 2025, securing an order to supply 50 ancillary dwelling units (ADUs) manufactured in Malaysia and delivered to Australia in 2026. Shortly after, the company announced a 212-key modular hotel development in Kalgoorlie, Western Australia, delivered in partnership with Baracus Pty Ltd.

The Kalgoorlie project includes approximately 7,700 square metres of accommodation along with supporting facilities such as restaurant spaces, meeting rooms and fitness amenities. The development responds to growing demand for visitor and workforce accommodation across the Goldfields region.

The new Port Hedland project further consolidates Western Australia as an early entry point for SIBS’ modular construction system in the Australian market, particularly in regional locations where workforce accommodation is required at scale.

Global modular manufacturing platform

Founded in Sweden in 2016, SIBS operates as a vertically integrated modular construction company managing the entire delivery process from digital design and engineering through to factory production, logistics and onsite assembly.

The company manufactures fully finished volumetric modules primarily from its Penang factories, exporting to markets across Europe, Asia and the Middle East. To date, SIBS reports delivering around 7,000 apartments globally, including residential complexes, workforce housing and hospitality developments.

International activity continues to expand alongside the Australian pipeline. Earlier this year, SIBS entered a strategic partnership with LINQ Modular, part of ALEC Holdings, to support modular delivery across the Middle East. The collaboration targets the potential production of up to 1,500 modular units annually across residential and hospitality developments in the region.

With several Australian projects now under development, the Port Hedland announcement signals that international modular manufacturers are increasingly positioning their industrialised construction systems within Australia’s accommodation and housing sectors, particularly where speed of delivery and workforce availability remain key project constraints.

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