$600m mining services contract for QLD Meandu Mine awarded to Downer

Monica Gameng   |   January 25, 2020

Stanwell Corporation Limited has re-appointed Downer EDI as contractor for the Meandu coal mine in the South Burnett region in Queensland with a new five-year mining services contract award valued at approximately $600 million.

“After undertaking a rigorous tender assessment process, Stanwell selected Downer EDI for its ability to deliver the best combination of safety, environmental, community and commercial outcomes for Stanwell and Meandu Mine over the long-term.

“Downer’s reappointment supports the long-term future of Meandu Mine and the Tarong power stations and enables the site to continue to provide local jobs and investment in the South Burnett and Toowoomba regions,” Stanwell Chief Executive Officer Richard Van Breda said.

According to Mr Van Breda, this agreement with Downer will also result in the reduction of fuel costs for the Tarong power stations, which will improve the power stations’ competitiveness in the National Electricity Market and will benefit all electricity consumers.

“Over the next five years, significant changes will occur within the National Electricity Market and it is important we are in a position to respond to these changes.

“The cost of coal is a significant portion of the total cost of running the Tarong power stations. It is therefore important for us [to] undertake these market reviews to ensure we are operating as cost effectively as possible for the benefit of Queensland electricity consumers,” Mr Van Brena said.

Under this new contract award, Downer will provide full mining services to the Meandu mine which will include the operation of the Coal handling and Preparation plant (CHPP). Execution of this contract will begin in July 2020.

“Downer has worked closely with Stanwell since 2013 and we look forward to continuing to provide safe and productive services at Meandu Mine,” Downer Chief Executive Officer Grant Fenn said.

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Source: Downer EDI; Stanwell Corporation Limited; Australian Mining

Monica Gameng
As Felix's Marketing Assistant since 2015, Monica is responsible for researching and sharing new and progressing projects within the construction and mining sectors in Australia. It's no surprise that Monica has her finger on the pulse of Australian major projects given she has produced more than 1,000 posts. She truly is an industry expert.
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