MinRes increases Wodgina power contract to $30m

Construction of the engine hall at Wodgina. Image: Contract Power

Contract Power’s agreement with Mineral Resources at the Wodgina lithium project has been updated, resulting in the addition of 17MW of temporary power and increasing the value of the contract to $30 million.

The company entered into a contract with MinRes for the construction of a 52MW gas-fired power station at the Wodgina lithium project in the Pilbara, Western Australia in April. The project is believed to be the largest high-speed reciprocating power station across the entire mining industry.

Originally, the project was to use third-party interim power facilities during construction of the 52MW project but MinRes instead decided to purchase these assets for itself.

As such, Contract Power will install and commission an interim diesel power station using MinRes’s assets to produce 17MW of power, extending Contract Power’s overall contract value to $30 million.

Pacific Energy managing director James Cullen commented, “We thank MinRes for their confidence in selecting Contract Power in this highly important project.

“The award is a strong endorsement of Contract Power’s capabilities to deliver projects in the gas and diesel remote power generation space for the resource sector.”

Contract Power, which was purchased by Pacific Energy for $90 million in March 2018, is the leading build, own, operate (BOO) power provider in the gold sector.

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