Macmahon wins $80m BHP contract in Newman

Macmahon Holdings Ltd has been awarded a construction contract valued in excess of $80 million for BHP Billiton at Newman in the Pilbara.

The 10 month contract forms part of BHP Billiton Iron Ore's Rapid Growth Project 4 (RPG4) which will expand its iron ore capacity in the Pilbara from 129 to 155 million tonnes per annum.

Macmahon will construct the extensive foundations, requiring 30,000 cubic metres of structural concrete, for the new crushing and screening plant at BHP Billiton's "Newman Hub".

The Newman Hub will provide a central ore processing and rail loading facility to allow processed iron ore to be railed directly to the port.

Macmahon chief executive Nick Bowen said the contract win was an excellent example of how Macmahon was building on its strong relationships with major customers across its two core businesses to drive growth.

"We are already working with BHP Billiton as part of RPG4 to upgrade capacity, by extending stockyards and roads on Finucane Island at Port Hedland," Mr Bowen said.

"Mobilisation for this project will commence during the next month and we will build up to a workforce of 250, with the first work expected to start in February."