Cimic wins $300m APLNG contract

Construction giant CIMIC Group has won a $300 million contract for gas field development works in the Surat Basin in Queensland for Australia Pacific LNG.

The contract, awarded to Cimic’s construction arm Leighton Contractors, has a two-year timeframe, with an additional two-year option.

Leighton will deliver about 200 wells per annum in a series of work packages, with construction due to start in early October.

The wells will support APLNG’s upstream operations and supply to its LNG export facility on Curtis Island once the construction phase is completed.

Cimic chairman Marcelino Fernandez Verdes said the group’s experience in the gas sector enabled it to provide high value solutions for clients who were developing major gas infrastructure and transitioning to long-term sustaining operations.

“Our diverse capabilities and ability to consistently deliver to client requirements provide a range of opportunities for us in this sector,” he said.

Leighton managing director Roman Garrido said the contract extends an upstream infrastructure the division had delivered for APLNG over the past three years.

Leighton will deliver the project with design partner Amec Foster Wheeler, while local subcontractors, suppliers and personnel from the Western Downs region will deliver at least 15 per cent of the project works.

Cimic closed 2.5 per cent lower to $23.45 each.