Fluor JV to expand Port Hedland harbour

Friday, 5 August, 2011 - 09:27

Texas-based engineering and construction group Fluor Corporation has announced its joint venture with Sinclair Knight Merz has won additional contracts with BHP Billiton for the mining giant’s 100 million tonne expansion of its Pilbara operations.

The newly awarded work will focus on expansion of the Port Hedland inner harbour.

Fluor said it booked approximately $US2.7 billion for the project in its second quarter results.

Fluor is the majority stakeholder in the joint venture, known as FAST, which has provided engineering, procurement, construction management and commissioning services for BHP Billiton's iron ore projects since 2001.

The new deal follows the announcement in May that the joint venture had won new contracts for the expansion of BHP’s Jimblebar iron ore mine.

At the time of that announcement Fluor said it had booked approximately $US3 billion for the Jimblebar project and additional work in its first quarter results.

The work is collectively part of BHP’s plan to increase its iron ore production in the Pilbara from 140 million tonnes per annum to 240mtpa by 2013.

The mining giant has budgeted $US7.4 billion for the upgrade of the Jimblebar mine, and associated port and rail upgrades for the expansion.