Forge Group’s wholly-owned subsidiary Cimeco has entered into a $90 million agreement with Chicago Bridge and Iron to provide civil and concrete services for the early stages of the Australian Pacific LNG project in Gladstone, Queensland.
The contract will be the first work in Queensland for the Perth-based company and includes procurement and construction of the civil and concrete works required for the installation of two 160,000 cubic metre LNG tanks.
Work will commence on the project in the first quarter of 2012 and is scheduled for completion by the end of 2013.
Cimeco managing director and Forge director Andrew Ellison said the contract was strategically significant for Forge.
“It is our first foray into the Queensland market and is another step in our plan to build a true national presence,” Mr Ellison said.
“It also ratifies Cimeco’s diversification strategy to provide a full range of construction services.”
The Australia Pacific LNG project is a joint venture between Origin, ConocoPhillips and Sinopec, and is set to be one of the country’s biggest energy developments.
Forge shares were up 7 cents to $4.71 at 9.00am WST today.
