Decmil has secured a $30 million contract with Rio Tinto at the Robe Valley iron ore hub in Western Australia following a contract win at the site just three weeks prior.
The latest contract involves the design and construct of heavy and light vehicle facilities at the Mesa J mine, including the wash facility, mobile equipment maintenance workshop, bulk lube storage facility and tyre charge facilities.
To fulfill the work, Decmil will deconstruct the existing heavy vehicle wash facility and bulk lube storage facility at Mesa J.
The contract work is expected to complete by the end of next year.
According to Decmil chief executive Dickie Dique, the contract award was a testament to the company’s ability to capitalise on a buoyant iron ore and magnetite market.
“We have now won two contracts with Rio Tinto in the space of a month, and in September we secured a $41 million contract at the Iron Bridge magnetite project,” he said.
The first contract was valued at $8.7 million and involved the design and construct of the Mesa A laboratory facility at the Robe Valley hub. This is also anticipated to complete next year.
Both the Mesa A and Mesa J mines are owned by the Robe River joint venture, where Rio Tinto is an operator and owns a 53 per cent stake. The remaining interest is held by Mitsui Iron Ore Development (33 per cent) and Nippon Steel Australia (14 per cent).
Rio Tinto first awarded a contract to Decmil at the Mesa J mine in 1999.