Anglo-Australian metals and mining firm Rio Tinto has awarded contract, valued A$400m ($275.9m), to engineering, procurement and construction (EPC) company Mondiumfor the Western Turner Syncline phase two (WTS2) mine in Western Australia.
Mondium is a joint venture between Monadelphous and Lycopodium. The investment in in the WTS2 mine, located 35km north-west of the Tom Price mine in the Pilbara region, will enable mining of existing and new deposits.
Under the contract, Mondium will be responsible for engineering and design, procurement and site construction works associated with the WTS2 development.
Work will also include designing and constructing the process plant, overland conveyor and non-process infrastructure. The new conveyor system will help in the reduction of greenhouse gas emissions from the iron ore mine by 3.5% compared to road haulage.
Mondium managing director Andrew Carnie said that the award marks major strategic milestone for the company’s growth strategy. “Mondium has been working hard to execute projects successfully and prove our capability. We are thrilled to be making great strides in our growth strategy and to have secured this significant contract with Rio Tinto.”
The work is scheduled to commence in the first quarter of 2020 and be completed in 2021. Rio Tinto and Mondium intend to work closely to ensure the project boosts local and indigenous employment in the region.
Monadelphous, in a statement, said: “Monadelphous and Lycopodium recognised the synergistic benefits they could bring by providing an end to end EPC delivery business for the resources sector in Australia.”
Mondiumis planning to work closely with Rio Tinto in a bid to provide local employment and business opportunities. In addition to helping in maintaining the present workforce at the Greater Tom Price production hub, the expansion project at the mine is expected to create employment for more than 1,000 people.