Perth-based mining contractor Decmil has secured a new contract at Rio Tinto’s iron ore operations in the Pilbara region of Western Australia.
The $40 million contract will see Decmil design, construct and commission new facilities at the Nammuldi and Silvergrass mines. The project scope also includes modifications and extensions to existing facilities at the Nammuldi mine.
In an ASX announcement, Decmil said the project would start immediately and was expected to be completed in late 2017.
Rio Tinto announced in August that it would invest $338 million to complete development of the Silvergrass mine, which is adjacent to the Nammuldi mine.
After making this decision Rio Tinto awarded RCR Tomlinson a $120 million contract to provide materials handling systems at the Silvergrass mine.
The contract included the engineering, procurement and construction of a new primary crusher, nine kilometres of overland conveyors and associated power lines.