Rio suspends Pilbara mining contract with Brierty

Image: Brierty

Mining services company Brierty has confirmed that its Western Turner Syncline Stage 2 (WTS2) iron ore contract with Rio Tinto in the Pilbara region has been suspended and it has received a notice of default.

Brierty reported it was working with Rio to address safety concerns and structure a return to operations as soon as possible.

“Under the terms of the contract, Brierty has 14 days to respond to the notice of default. Brierty is confident that it can provide Rio Tinto with the assurance it requires in order to resume operations,” the company said in an ASX announcement.

Brierty was awarded a $300 million contract for work at Rio’s WTS2 project in May 2014. The contract, which was originally planned to run for four-and-a-half years, included both mining and civil work at the site.

WTS2 project is a greenfields project that is expected to produce 7Mtpa of ore over the contract.

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