Midland robot maker Kuka is celebrating after clinching a multi-million pound contract to supply its machines and allied components to Australia.

The company, which employs 63 people at its base in Halesowen, has signed a £2 million deal to make the robots for a company in the construction sector.

Kuka, whose machines traditionally are used in automotive assembly work, will produce six robots and associated parts for a firm based in the state of Victoria.

Each of the machines, which can lift weights of up to 500kg, will be involved in the lifting and picking processes to make breeze blocks.

Managing director Alan Shilton said: "This is a terrific contract for us because it is a step into a new market and building on the start we have already made in diversification.

"This is our first robotic installation in Australia, it is part of our long-term plan of transferring our expertise in automotive robots into different markets.

"Five years ago nearly all of our turnover was in the automotive industry, but now it is around 20 per cent."

Mr Shilton said that while the deal was not the company's biggest, it was still significant. Kuka has annual sales of £13 million

He said it would not generate new jobs, but would secure the future of existing staff at the site.

He added: "It is also good news for the Black Country, because nearly 90 per cent of our components are sourced within 20 miles of Halesowen.

"We always try to buy as much equipment locally as we can. We have done our international bench-marking, and we are very happy with our local supply base.

"Something may be cheaper if you get it from India or China, but that does not mean it is going to cost less in the long run."

Mr Shilton said he could not reveal the identity of the Australian firm for commercial reasons, but said he was delighted they had contacted Kuka.

"The company came to us because of our expertise. Apart from the fact our robots are the best, they can be controlled from a normal PC, while other robots have to use special robot controllers.

"Also our robots are very reliable, with a mean time between failure of about 70,000 hours.

"The company came to us because we showed that we have got good quality reliable machines which can deliver."

The Australian tie-up follows £5 million of deals signed in the last few months by Kuka.