Rio Tinto Awards US$120 MM in Contracts for New Facilities at Amrun

Rio Tinto Awards US$120 MM in Contracts for New Facilities at Amrun

Rio Tinto is preparing to step up production at its gargantuan bauxite project in Queensland, Australia. The Australian construction firm Civmec Construction & Engineering Pty Ltd announced on Monday that it had been awarded two significant contracts at Amrun for projects involving a new processing facility at the site.

Civmec’s press release indicated that it will be engaged in two products totaling AUD160 million (US$119.878 million). Among the tasks the firm has been engaged to complete are the construction of a process facility that includes a bauxite benefication plant and required water, electrical, and lighting systems. The project also includes a contract with Swedish engineering group Sandvik AB for a stacker, reclaimer, and shiploader for bauxite materials handling.

Civmec says that work is to begin right away, and that the projects will employ up to 500 people at its facilities in Henderson, Western Australia, and Newcastle, New South Wales.

“We are appreciative to Rio Tinto and Sandvik for the award of these contracts,” said Civmec’s Chief Executive Officer Patrick Tallon. “Civmec will proudly carry out the work for the Amrun Project in Australia, creating local jobs and providing a boost for the Australian economy.”

“These awards demonstrate that Civmec, as a leading heavy engineering constructor, has bridged the gap between the Australian and overseas fabrication options. With our high quality, schedule assurance and price competitiveness, Rio Tinto has acknowledged that a local delivery is the best option for this important Australian project. We are delighted to maintain our ongoing relationship with Rio Tinto,” he concluded.

“With the upcoming Defence contracts Civmec has demonstrated that Western Australia can be competitive in a global market which in turn creates local employment and training opportunities for Australians,” said Minister for Commerce for Western Australia Michael Mischin. “We as a Government are pleased to support this project as Civmec will be using the Common User Facility at the Australian Marine Complex (AMC) to facilitate the assembly and loadout of the modules.”