Valmec has been awarded a contract on the Northern Gas Pipeline project by Jemena.
Construction of the $800 million Northern Gas Pipeline, which will run from Tennant Creek to Mount Isa, was launched in July.
The 622km gas pipeline will connect the Northern Territory to the eastern gas pipeline grid. First gas is expected to flow in late 2018.
According to Valmec, the $3 million civil construction contract on the Mt Isa compressor station, as part of the Northern Gas Pipeline project, will see the engineering company work collaboratively with the traditional owners of the land, the Kalkadoon People, and Jemena to deliver the civil and underground services.
Valmec has signed a memorandum of understanding (MoU) with the Mt Isa-based Kalkadoon Native Title Aboriginal Corp to identify and develop strategic projects and opportunities on their native title lands.
Steve Dropulich, Valmec managing director, said the contract was of strategic importance to the company, further demonstrating its expertise and position as a key supplier in the gas services sector.
“It is also pleasing to be able to execute a MoU with Kalkadoon, which will support our execution strategy on this project and further enable Valmec to work with local communities and Indigenous groups in delivering a mutually successful project for Jemena and its shareholders,” he said.
Construction of the pipeline has been forecast to create around 900 jobs overall, with maintenance and operations teams to be based in Tennant Creek and Mount Isa once it is developed.
The pipeline will be important for the NT Government’s plans to develop Tennant Creek into a mining services centre in the Territory.