Milestone for Rio local procurement program

Rio Tinto has awarded its 100th work package to local businesses in the Pilbara, as part of its program designed to increase opportunities for businesses in Western Australia.

Launched in May 2017, the program features an online portal that increases the visibility of upcoming work to local companies.

The program operates on a tiered system, subject to necessary criteria being met, with Pilbara indigenous-run businesses given first preference, followed by WA-based businesses, then national businesses.

Rio Tinto Pilbara Iron Ore managing director Stefan Buys said work published through the online portal had received more than 3,000 expressions of interest.

“Rio Tinto aims to make a significant contribution to our local communities by making sure we provide opportunities for local businesses to benefit from our activities,” he said.

Indigenous-owned and operated civil and concrete construction company, Baru Group, was one of the most recent local businesses to secure work through the portal.

Baru Group director Anne Tallon said winning the work had a flow-on effect to employees and their families.

“Rio Tinto's local procurement portal shows us what jobs are coming up and provides us with enough information so that we can do our own investigation into whether we can be cost competitive as well as if the scope of works are within our capabilities,"she said.

The work awarded to Baru involves an upgrade of the stackers and conveyors at Rio Tinto's Brockman two operation, including earthworks and a structural upgrade to the stacker rail sleepers and conveyor foundations.

Karratha-based Baru is expected to complete the project by the end of 2019.

Yesterday, it announced that the Pilbara Ports Authority gave orders for the Port of Dampier, which is a key port for Rio Tinto, to be cleared as part of cyclone preparations.

Shares in Rio were up 0.69 per cent to trade at $80.15 each at 2.15pm AEDT.