Pilbara rail contracts awarded

Macmahon Holdings Limited and its subsidiary MVM Rail Pty Ltd (MVM Rail) have been awarded approximately $42 million of contracts to provide seven kilometres of rail track servicing BHP Billiton Iron Ore rail operations in the Pilbara Region of Western Australia.

This project involves both brownfield and greenfield earthworks as well as drainage and roadwork on four sections of rail line at Newman Loop, Orebody 25, Jimblebar Wye and Jimblebar Mine. This contract is the first project where Macmahon and MVM Rail will construct both earthworks and trackworks on sections of rail line for BHP Billiton Iron Ore.

The award of these contracts follows the signing, in December 2007, of the contract to construct the extensive foundations for the new crushing and screening plant at BHP Billiton’s “Newman Hub” as part of BHP Billiton Iron Ore’s Rapid Growth Project 4.

The project is expected to commence work in April, with completion scheduled for October 2008.

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