01/11/2011 - 15:32

Kiewit JV wins $247m FMG work

01/11/2011 - 15:32

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Kiewit JV wins $247m FMG work
EXPANSION: FMG's rail loading facilities at the Cloudbreak mine.

A joint venture led by US-owned construction contractor Kiewit Australia, which is a new player in the local mining sector, has won a $247 million contract from Fortescue Metals Group for works on the Cloudbreak iron ore development in the Pilbara.

The joint venture is managed and 48.5 per cent owned by Kiewit Australia, and also includes international engineering firm AMEC and a local company, AusGroup subsidiary AGC Industries.

The joint venture announced today it had won an engineering, procurement and construction contract for the Cloudbreak wet ore handling plant, located approximately 50 kilometres north of Newman.

AMEC said its principal role would be detailed engineering, procurement of equipment and site support.

It said its share was worth approximately $55 million.

Work on the contract has already commenced and will be completed before September next year.

Fortescue is expanding the capability of the Cloudbreak plant to process below water table, or wet, ore.

“This major award for AMEC reaffirms our position as a leading services provider within the Western Australian iron ore industry,” AMEC Minproc president Malcolm Brown said.

“It complements a number of iron ore studies in which we are currently involved and are looking forward to taking through to project stage.”

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