Construction and engineering service provider Civmec (ASX:CVL) reports it has secured a major contract for global mining giant Rio Tinto’s (ASX:RIO) Western Range Project in Western Australia’s Pilbara region.
Under the contract, which is worth more than $330 million, Civmec is expected to complete a vertical package of work that will utilise most of its in-house capabilities. It will also carry out the heavy engineering requirement for the structural and platework fabrication, and where viable, will assemble modules for transportation to site.
The company says it is also expected to deliver detailed earthworks, civil, and concrete components, as well as structural, mechanical, piping (SMP) and electrical and instrumentation (E&I) installation.
With the Rio Tinto contract now secured, Civmec announces that off-site works will start immediately and that mobilisation to site is due to commence in mid-2023.
The project is expected to employ over 400 people on site and is currently scheduled for completion in the first half of the 2025 financial year.
Speaking on the contract, Civmec Chief Executive Officer (CEO) Patrick Tallon says: “We are very pleased to be awarded the Western Range project, which further enhances our long-standing relationship with Rio Tinto.
“We are very pleased to be awarded the Western Range project, which further enhances our long-standing relationship with Rio Tinto”
The fact that we will be utilising our manufacturing facilities to supply our construction site teams, across several disciplines, strongly aligns with our business model to provide multi-disciplined solutions for our clients. This allows us to start the new year with an order book in excess of $1.150 billion.”
The company also notes that Rio Tinto’s iron ore Western Range Project includes greenfields and brownfields scope with the construction of a new Run of Mine (RoM) pad, primary crushing facility, overland conveying circuit and modifications to the Coarse Ore Stockpile (COS) and downstream conveying system.
In addition, the greenfields scope includes a new primary crushing facility, discharge conveyor, transfer station and a 17km overland conveying system that transfers the ore through to the existing Paraburdoo COS.
Meanwhile, the brownfields scope includes extensive modifications to the current Paraburdoo COS and downstream conveying system, including the addition of new feed points at the COS, new ore transfer equipment, conveyor replacements, conveyor upgrades and a range of other general modifications to receive the new ore stream.
Civmec is an integrated, multi-disciplinary construction and engineering services provider to the energy, resources, infrastructure, and marine and defence sectors. The company is headquartered in Henderson, WA, however it currently has regional offices in Newcastle, NSW, and Gladstone, Queensland.
Civmec specialises in heavy engineering, shipbuilding, modularisation, SMP, EIC as well as other construction and engineering services, and will be putting these services to the test at Rio Tinto’s Western Range Project.
Images: Civmec Ltd & Rio Tinto Ltd
