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Primero secures $115m contract for works at Koodaideri Project WA

Written by Monica Gameng | Dec 8, 2019 2:00:00 PM

Primero Group has been awarded a $115 million works package by Rio Tinto, marking a new milestone on the Koodaideri iron ore project in Western Australia with another major contract award.

Under this contract, Primero Group will undertake design, fabrication, supply, construction, installation and testing as well as commissioning of the mine infrastructure area and associated facilities.

The works package will also include complete engineering, procurement and construction (EPC) for Koodaideri facilities.

“The announcement of the new contract award is particularly pleasing for the group and a real testament to the hard work put in by our teams over the past 12-18 months.

“From the early identification of projects such as the scale of Koodaideri and the strategic positioning and work completed from budget pricing through to contract award is another example of how Primero as a business has grown over the years,” Primero Managing Director Cameron Henry said.

Primero is set to begin work immediately and due to be completed by mid-2021.

This contract is anticipated to generate up to 150 jobs during peak construction.

The Koodaideri Project is located in the Pilbara region, approximately 110 kilometres from Newman, and it is comprised of a processing plant and associated infrastructure; a 166-kilometre rail line that connects the mine to the existing Rio Tinto Pilbara rail network; an airport; support facilities; and an accommodation village.

Last year, Rio Tinto announced that it will invest up to $3.5 billion towards the development of the Koodaideri Project which is expected to create 2,000 jobs during its construction and a further 600 jobs once operational.

The Koodaideri iron ore project is set to become Rio Tinto’s future major mining hub in the Pilbara with an initial capacity of 43Mtpa.

The Koodaideri Project is anticipated to begin operations in 2021.

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Source: Australian Mining; International Mining