ENGINEERING group Weir said it is "well positioned" to play a part in rebuilding Iraq after the conflict.

The Glasgow company derives about eight per cent of its turnover from the Middle East, and was this month awarded a $25m (£16m) contract to design and manage the building of a desalination plant in Kindasa, Saudi Arabia.

A spokeswoman for Weir said: "The company is well positioned as and when any contracts for rebuild come up for tender."

While she declined to confirm whether the subject of Iraq had been discussed with the Government, she said: "As with all international businesses, we are in regular discussions with the Department of Trade and Industry."

The group further cheered investors by posting underlying profits of £60m for 2002, slightly ahead of expectations which averaged £58m.