Macmahon Holdings has announced it has finalised its load-and-haul services contract with Talison Lithium for the Western Australian Greenbushes lithium project.
The news comes on the back of Macmahon being selected as the preferred load-and-haul contractor for the project.
Macmahon chief executive officer and managing director Michael Finnegan said the company is delighted to finalise this contract with Talison Lithium for its Greenbushes project.
“This contract will add approximately $1.1 billion to our order book, which delivers on our commodity diversification strategy into future relevant commodities,” he said.
“We have built a strong relationship with the Talison Lithium team and look forward to developing this project with them.”
Major miners IGO and Tianqi Lithium have a 51 per cent stake in Greenbushes, which boasts the title of the biggest and best lithium mine in Australia.
The remaining 49 per cent is owned by Albermarle Corporation.
The contract involves open-cut mining activities of load and haul, plus crusher feed which will start from July 1 and span a seven-year period, with the option to extend for further two years.
It is estimated to generate revenue in excess of $1.1 billion over the contract’s term.
Talison has been producing lithium concentrates at Greenbushes since 1983 and first announced the contract with Macmahon in November last year.
The Greenbushes project is a major supplier of lithium mineral concentrates and Finnegan said the award of the contract delivers on the company’s commodity diversification strategy into future relevant commodities.
Greenbushes is expected to run for at least another 20 years.