AusGroup wins extra Gorgon works

AusGroup subsidiary AGC Industiries has extended its fabrication contract for Chevron’s Gorgon natural gas development by $13.6 million.

AusGroup said fabrication would take place at its Kwinana and Henderson yards, and create jobs for around 280 people.

The contract extension takes AusGroup’s total contract value to more than $80 million.

The works include stainless and carbon steel pipe-work, non-destructive testing, post-weld heat treatment, blasting and LNG specification painting.

More than 21,500 pipe spools will be provided under the contract.

“The extension of this agreement is a testament to AusGroup’s local fabrication capability in Western Australia,” chief executive Laurie Barlow said.

“At our facility in Kwinana, we are able to manufacture on a 24-hour a day, seven days per week basis, and this, coupled with our access to the Australian Marine Complex in Henderson, is a compelling proposition for clients looking for timely delivery of high-quality components.”

The contract extension comes a day after AusGroup took a significant step towards listing its shares on the ASX by acquiring two Malaysian resort companies to facilitate combining all of its subsidiaries into one entity for listing.