Watpac expands Nullagine contract

Brisbane-based contractor Watpac has secured a $35 million addition to its existing $289 million mining services contract with BC Iron at its Nullagine iron ore joint venture in the Pilbara.

The company’s civil and mining division will now haul ore from the project’s satellite mines to the run-of-mine stockpile over the next four years.

It adds to Watpac’s existing contract to deliver surface mining services to the JV with Fortescue Metals Group including loading and hauling ore and waste and mobile and fixed crushing.

Last week BC Iron achieved the fourth and final operational milestone on the Nullagine project by exporting 3.5 million tonnes of ore ahead of schedule and is now producing 5Mt per annum.

BC said the joint venture had dispatched its largest shipment of ore to date, exporting more than 224,000 tonnes of iron ore in one cape size vessel from Herb Elliot Port in Port Hedland.

Watpac Civil and Mining national general manager Hedley Davis said the company was pleased to expand its working relationship with BC Iron on the Nullagine project.

Watpac shares were fetching 1.5c higher to 64c in afternoon trade.