The preferred contractor to build, own and operate Newmont’s Tanami gold mine 62-megawatt power station is belmont-based Zenith Energy, edging out incumbent provider Pacific Energy.
Zenith was selected to build, own and operate a 52MW gas power station with 10MW of diesel back up generation, which is anticipated to switch on in the first quarter of 2019.
The mine is based 520km north-west of Alice Springs in the remote Tanami desert of the Northern Territory.
The 10 year contract is subject to negotiations, with discussions about a power purchase agreement and a 10 year extension option still under way.
Hamish Moffat, Zenith managing director, said the company’s contracted build own operate capacity would be more than 170MW once the agreement was concluded.
This announcement comes just days after Pacific Energy announced it had been unsuccessful in its bid to win the gas power station contract. Pacific has supplied power at Tanami since 2001, through two diesel power generators with 34MW of capacity.
The company will remain on site until a new gas pipeline is built and the new power station commissioned.
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Source: Business News