Balla Balla project a step closer with Chinese construction partnership

Image: BBI Group

BBI Group (BBIG) has signed a memorandum of understanding (MoU) to partner with China State Construction Engineering Corporation (CSCEC) for the construction of the Balla Balla Infrastructure (BBI) iron ore project in Western Australia.

The nearly $6 billion BBI project and a foundation customer mine is set to be developed in WA’s Pilbara region and will need 3300 workers during construction. It is also expected to provide 900 permanent jobs once operations begin.

CSCEC is one of China’s largest companies and one of the largest construction companies in the world.

The MoU was signed by both companies in Canberra, at a ceremony that was attended by prime minister Malcolm Turnbull and Chinese premier Li Kequiang.

Under the agreement, both companies will work together to ensure the project is contructed and operated by suitably qualified, Pilbara experienced contractors, confirming BBIG’s commitment to increasing work opportunities for local and regional businesses and employees.

It comes after the WA Government signed a state agreement for the project and a 162km railway linking it to iron ore deposits in the region, in January this year.

BBIG chair Jon Young said the partnership was another major milestone for the project and a step closer to company receiving a final investment decision and beginning construction in 2018.”

“To have signed such an important MoU for our project in the presence of the Australian prime minister and the Chinese premier confirms the strength and international significance of the BBI Project,” Young said.

“We are pleased to have secured the confidence and support of China State Construction Engineering Corporation, an internationally significant construction partner who possesses world class experience in the delivery of large scale infrastructure projects, including port and rail infrastructure.

“The MOU between BBIG and CSCEC recognises the critical importance of a Pilbara experienced workforce to the successful delivery of the project.”

To keep up to date with Australian Mining, subscribe to our free email newsletters delivered straight to your inbox. Click here.