Decmil has signed a five year contract for civil works with Rio Tinto.
The contracts are part of Rio’s massive Pilbara iron ore expansion plans which will see it increase capacity at Cape Lambert from 225 million tonnes annually to 353 million tonnes by 2015.
Rio yesterday announced it is committing $3.1 billion to the expansion project.
The majority of the investment will be used to extend the life of its Nammuldi iron ore mine, with the site receiving a $2 billion boost.
A further $1.1 billion will be used on early works to expand the company’s Cape Lambert port and rail facilities.
The agreement places Decmil as Rio’s preferred contractor for civil works for the western stream of Rio’s expansion project.
Decmil CEO Scott Criddle said the "preferred contractor agreement that Rio Tinto has entered into with Decmil Australia reflects the relationship between the two companies. The long term nature of this agreement provides both organizations with greater certainty in long-term planning".