28/05/2014 - 13:07

Thiess wins $330m Roy Hill contract

28/05/2014 - 13:07

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Engineering contractor Thiess has been awarded a $330 million contract to construct the process plant facilities for the Roy Hill iron ore mine in the Pilbara (with updated list of 36 major engineering construction contracts awarded in past year).

Roy Hill iron ore mine site in the Pilbara

Engineering contractor Thiess has been awarded a $330 million contract to construct the process plant facilities for the Roy Hill iron ore mine in the Pilbara.

Thiess will be in charge of construction of the structural, mechanical, piping, electrical and instrumentation works at the mine's process plant, which are being designed and supplied by Samsung C&T.

The work is expected to commence in July and create up to 1,000 jobs for approximately 14 months.

It ranks as one of the 10 largest engineering and civil construction contracts awarded in the region over the past year, with other big winners including international contractors Kentz, CB&I and McConnell Dowell and Australian firms UGL, Monadelphous, NRW Holdings, BGC Contracting and Downer (see full list). 

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Thiess managing director Bruce Munro said the contract signalled a new relationship with Samsung C&T, and built on its "industry leading capability" in SMPEI work in the coal mining and coal seam gas sectors.

"We're proud to further progress that capability with Samsung C&T in iron ore," he said.

“We have a long association with iron ore projects in the Pilbara and this contract represents a continuation with a new client."

The Roy Hill mine is located 280 kilometres south of Port Headland, and is part of an integrated $10 billion mine, port and rail development.

It is owned by Gina Rinehart's Hancock Prospecting (70 per cent) with the balance held by Marubeni, POSCO and China Steel Corp.

Roy Hill Holdings announced earlier this month that construction was 38 per cent complete, with first exports due late next year.

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