Rio Tinto has awarded a new contract to Primero Group, expanding the company’s scope of works at the Koodaideri iron ore project in the Pilbara region. This contract award is valued at $20 million and it follows the contracts previously awarded for works at Koodaideri.
This non-process infrastructure (NPI) contract award will involve the construction of the Koodaideri Airport Terminal and Infrastructure. Construction is going to be undertaken alongside works covered by Primero Group’s previous Koodaideri contract that is due to be completed in 2021.
At peak construction, Primero Group is expecting to have a workforce of up to 180 personnel on site.
“It is pleasing to be awarded further core NPI work from such a great partner and Tier 1 client as Rio Tinto. We continue to deliver to plan across all major project works and are increasingly optimistic about the operating and growth outlook for the next year and beyond,” Primero Group Managing Director and CEO Cameron Henry said.
The Koodaideri iron ore project is located approximately 110 kilometres from Newman in Western Australia and it is comprised of a processing plant and associated infrastructure; a 166-kilometre rail line that will connect the mine to the existing Rio Tinto Pilbara rail network; an airport, support facilities and an accommodation village.
In 2018, the Rio Tinto board approved a $3.5 billion investment for the development of the Koodaideri project. Once operational, Koodaideri is set to become Rio Tinto’s new iron ore mining hub, producing up to 43 million tonnes of iron ore annually.
Construction of the Koodaideri project is anticipated to create more than 2,000 jobs and a further 600 jobs once operational.
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Source: Primero Group; Australian Mining; Rio Tinto