Tag Archives: Civmec

Civmec banks new work from BHP, Roy Hill and Rio Tinto

Civmec Ltd says it has received three notices of award from several repeat mining customers for maintenance and capital works projects collectively worth approximately A$130 million ($97 million).

These orders – from BHP, Roy Hill and Rio Tinto – bring its total order book to about A$1.05 billion as at September 30, 2021.

For BHP, Civmec is to carry out a civil and earthworks job as part of the miner’s Port De-bottlenecking Project Stage 1, which includes a new stockyard planned for the South Yard at Nelson Point, in Port Hedland, Western Australia.

The scope of work includes dewatering, piling, ground improvement, associated earthworks, concrete foundations, new roads, high voltage poles and underground power works.

Civmec says mobilisation will commence this quarter, with completion expected in the March quarter of 2022.

With Roy Hill, Civmec is due to carry out a greenfield construction package related to an extension of the existing Wet High Intensity Magnetic Separation (WHIMS) plant at Roy Hill’s mine site north of Newman, in Western Australia’s Pilbara region.

The scope of work includes greenfield installation and pre-commissioning of pre-assembled modules, piping, electrical and tie-in works. Mobilisation will commence immediately and completion is scheduled for the March quarter of 2022.

At Rio Tinto’s Boyne Island Smelters operation, Civmec is to supply refractory trades and other associated disciplines for maintenance, rebuild and reduction cell reconstruction works on carbon bake furnaces. The contract term is for three years with two one-year extension options.

Civmec’s Chief Executive Officer, Patrick Tallon, said: “We are delighted to secure these project wins with three of our long-term Tier 1 customers. The projects combine multi-year maintenance works along with two projects within our newly formed Maintenance and Capital Works – Resources and Energy area. With the BHP PDP1 project located in the Port Hedland region, it provides an ideal opportunity for Civmec’s newly opened regional branch to support the project, validating Civmec’s recently announced plans to invest in a purpose-built facility in Port Hedland.”

Civmec extends Pilbara stay with more iron ore agreements

Civmec Ltd has won multiple new contracts for its maintenance, manufacturing and construction divisions with a combined value of over A$100 million ($77 million).

Among these awards is a three-year contract for the maintenance division with Alcoa of Australia Ltd to provide calciner maintenance, major overhaul and repair services, including scaffolding, mechanical, refractory and electrical services at its Kwinana, Pinjarra, and Wagerup refineries. These plants contain 17 calciner units, two liquor burners and five regenerative thermal oxidisers.

The manufacturing division is celebrating minerals and metals sectors contracts in the Pilbara of Western Australia.

Among these is an agreement for Civmec to supply, manufacture, trial assemble and deliver four main train load-out bin modules for the BHP-owned Jimblebar iron project. The company will also supply, fabricate, surface treat and modularise shuttle trusses, conveyor trusses, platework and stick steel for the Rio Tinto-owned Gudai-Darri iron ore project, also in the Pilbara.

Still in the Australia iron ore hub, Civmec’s construction division is set to complete a civil package, including detailed earthworks, concrete placement, cabling and pipework for a Roy Hill de-bottlenecking project, as well as the delivery of a fixed plant workshop for Rio Tinto’s Mesa A project, where the group is already undertaking other structural, mechanical, piping, electrical and instrumentation work.

Civmec captures another contract at BMA’s Hay Point coal terminal

Civmec Ltd has been awarded a contract to manufacture wharf girders and associated structures for the development of port infrastructure at the Hay Point loading port, owned by BHP Mitsubishi Alliance (BMA), in central Queensland, Australia.

The BMA agreement will see Civmec make over 13,500 t of these girders and associated structures, with procurement and shop detailing activities commencing immediately and fabrication starting in the June quarter.

Loadout onto Heavy Lift Vessels is scheduled to start in early 2022, with the last vessel planned for load out in the June quarter of 2022. The project will employ over 350 people during fabrication and assembly at the company’s Henderson facility, in Western Australia.

BMA has already engaged Civmec to fabricate, modularise and commission the 1,800 t SL2A ship loader using pre-contract capital ahead of a large infrastructure replacement project at Hay Point.

Civmec’s Chief Executive Officer, Patrick Tallon, said: “The award for the Hay Point port infrastructure work is the second significant package of works that we have been trusted to deliver for this port upgrade. We look forward to delivering a high-quality product to McConnell Dowell to allow them to have a seamless installation at the site location and welcome the opportunity to work alongside all stakeholders on this project.”

These works are part of the Shiploader 2 and Berth 2 Replacement (SABR) project at Hay Point, which McConnell Dowell is heading up. The SABR project scope encompasses replacement of one of the three berths and shiploaders at the terminal.

Civmec tops up Iron Bridge work with new on-site contract

Civmec Ltd has confirmed approximately A$140 million ($105 million) in new contracts, with one of these a new agreement to deliver on-site structural, mechanical, piping and electrical works for the Iron Bridge magnetite project, in Western Australia.

The Iron Bridge contract will be delivered through the Minerals and Metals Division, while the other heavy engineering manufacturing projects will be delivered from Civmec’s expanded fabrication facilities.

It includes the installation of the crushing circuit, primary grinding, dry separation, air classification and dry tailings units for the dry plant at the project. Mobilisation will commence in early 2021 and, at peak, the project will employ around 400 people on site.

Iron Bridge is a joint venture between Fortescue Metals Group’s subsidiary FMG Magnetite Pty Ltd and Formosa Steel IB Pty Ltd (IBJV).

Civmec’s Chief Executive Officer, Patrick Tallon, said: “We are delighted to extend our relationship with IBJV with further work awarded on the Iron Bridge magnetite project. We are currently delivering site civil concrete works and have commenced work for the supply of 4,700 t of steel structures and modules for the same project, so this latest award is a very rewarding outcome and aligns well with our multi-discipline capability business model.”

Back in July, Civmec said the Metals and Minerals division had been awarded a standalone civil contract to build the structural concrete components for the dry plant at the IBJV.

Civmec mobilises personnel for Rio Tinto Mesa A contract work

Civmec Ltd has added another work package on a major iron ore development to its books, with Rio Tinto awarding it a contract to help further develop its Mesa A operational hub in the Robe Valley of Western Australia.

The package comprises the supply, fabrication, modularisation, transportation to site, erection, modification, installation, and commissioning of structural, mechanical, piping, electrical and instrumentation, and communication work for the Mesa A Wet Plant, it says. Components include screening, surge bin and scrubbing facilities and associated conveyor systems, transfer towers, sub stations and all piping and cabling, including trenching for underground services.

Rio Tinto’s Robe Valley Sustaining iron ore project, in the Pilbara region, includes the development of three new mining deposits and the construction of supporting infrastructure required to continue operations of the two existing operational hubs at Mesa A and Mesa J. The project is part of the company’s plans to sustain production capacity at its Robe River joint venture.

Civmec’s contract award follows similar agreements with Fortescue Metals Group on the Eliwana project and a contract to fabricate and modularise key components for BHP’s South Flank project, both of which are also in the Pilbara.

Civmec Chief Executive Officer, Patrick Tallon, said: “Rio Tinto has always been a good client for us and we have a long history of supporting the safe, high quality and timely delivery of their projects in Western Australia and Queensland, across construction, manufacturing and maintenance.”

Fabrication, to be undertaken at the group’s Henderson facility, will employ around 200 people and will commence in the coming weeks, Civmec said. The on-site structural, mechanical and piping component will require some 240 people to mobilise to site at the peak of the project in the latter part of this year, while the electrical discipline will require some 100 people in early 2021.

Civmec’s relationship with Rio Tinto is not limited to new development projects, the company says. It extends across other Rio Tinto sites, with the group’s maintenance division continually supplying services to its operations.

The award of this significant construction project, combined with recent work orders for the maintenance division from Rio Tinto, have a combined value of circa-A$165 million ($106 million), with the group’s order book now standing at around A$895 million, Civmec said.

Civmec to help modularise BHP’s South Flank iron ore mine

Civmec says it has signed a contract with BHP that will see the ASX-listed engineering company fabricate and modularise key components for the under-construction South Flank iron ore project, in the Pilbara of Western Australia.

The award of the South Flank module fabrication and assembly package #3 covers the supply and assembly of 23 fully-equipped ‘smart modules’, including the supply and installation of the required mechanical and electrical equipment up to no-load commissioning for each module, Civmec said. The scope comprises conveyor shuttle modules, sample station, pump skids, train loadout and feeder modules, all of which will be fabricated and assembled at Civmec’s facility in Henderson, Western Australia, before being transported to site for installation.

Work will commence immediately, with completion anticipated by mid-2020, according to Civmec.

Civmec’s Chief Executive Officer, Patrick Tallon, said: “We are extremely pleased to be given this opportunity to further support BHP in the delivery of what will ultimately become its flagship mine. The award of this scope of work complements the packages already in production for thyssenkrupp, in the supply, manufacture, trial assembly, surface treatment and pre-assembly of stackers, bogies and equalisers for the rail mounted machines for the South Flank project.”

When fully operational, South Flank will be one of the world’s largest iron ore operations integrating the latest advances in autonomous-ready fleets, digital connectivity and modular design, Civmec said.

BHP is targeting first ore extraction at the operation in 2021 and expects to ramp up to 80 Mt/y of output. This will replace production from the existing Yandi mine, which is reaching the end of its economic life. The company carried out the first blast at the project in September.

The combined value of these packages for South Flank is around A$48 million ($34 million).

Civmec starts fabrication work for Albemarle’s WA lithium hydroxide plant

ASX-listed Civmec has announced the award of a contract from Albemarle for the delivery of a new lithium hydroxide plant to be built in Western Australia.

Albemarle’s new hydroxide production plant will be in the Kemerton Strategic Industrial Area, around 160 km south of Perth, near the port town of Bunbury. It will initially comprise of three production trains, each producing 20,000 t/y of hydroxide, with a potential further expansion to five trains and ultimate site production of 100,000 t/y by around 2025. Albemarle began earthworks earlier this year.

Civmec’s scope of work includes structural, mechanical and piping for the hydromet and final product, reagents and utilities for Trains 1, 2 and 3.

The company’s Henderson facility will be used to fabricate and pre-assemble selected components for the on-site plant erection, with fabrication commencing immediately. Site works, meanwhile, are expected from mid-2019 to March 2021.

At the peak of construction, there is expected to be some 300 personnel involved in the delivery of the current defined scope, providing significant opportunity for skilled people residing in the region, Civmec said.

Civmec’s CEO, Patrick Tallon, said: “We are delighted to have been selected by Albemarle as a significant construction partner for this exciting project. This two-year project is ideally suited to our operations, fabricating, modularising and site erecting steel work for this key Western Australian development.

“This project reflects the growing confidence in the Western Australia resource industry, highlighting a bright future for the coming years.”

The contract award takes the Civmec’s current order book to approximately A$758.5 million ($543 million), it said.

Gold Road and Gold Fields Gruyere JV on track for June quarter pour

Gold Road Resources and Gold Fields’ jointly-owned Gruyere gold project in Western Australia is on track to pour first gold in the June quarter, the companies said in a construction and commissioning update this week.

Construction of the project, around 200 km east of Laverton in WA, was 91.2% complete as of January 18, 2019, with first ore mined on schedule this month. Downer, the mining contractor, has commenced double‐shift operations as part of the production ramp‐up, the companies said.

Gruyere is expected to produce 85,000-120,000 oz of gold in 2019. Once steady state production is achieved, the average annual production is forecast at 300,000 oz.

To de‐risk the project start‐up, a significant amount of ore is expected to be stockpiled in advance of first gold production, the companies noted, adding that construction works in the primary crusher area were substantially complete. Ore commissioning of the primary crusher to coarse ore stockpile circuit is in progress, they said.

The remaining process plant construction works are concentrated in the milling, carbon-in-leach and elution areas, and include piping, electrical and instrumentation installations and progressive commissioning of systems and equipment through these areas.

The project team at Gruyere includes a joint venture EPC contractor, Amec Foster Wheeler Civmec Joint Venture, MACA Ltd, which is carrying out bulk earthworks at Gruyere, and Downer EDI, which was previously awarded a five-year mining services contract.

Gold Road and Gold Fields said the project remained on schedule for first gold production in the June quarter and within previously announced forecast total cost estimates of A$621 million ($445 million).

Civmec readies for first shutdown maintenance campaign at Roy Hill iron ore mine

Australia-based Civmec Ltd’s maintenance team is about to mobilise to Roy Hill Holdings’ iron ore operations in the Pilbara of Western Australia as it commences the first shutdown campaign of its long-term services contract with the company.

In July, Civmec was awarded a maintenance contract with Roy Hill and the company is now “working collaboratively on planning, drawing experienced personnel from its extensive resource pool to ensure this first phase of a long maintenance campaign is delivered seamlessly”, it said.

Civmec said the outcomes of this first phase of work, due to start this month, will dictate the client’s approach to ongoing maintenance.

The contract includes providing mechanical, scaffolding, electrical, conveyor and shutdown management services, according to the company.

Civmec said this contract, and others recently secured with the likes of Alcoa, Rio Tinto and Fortescue Metals Group, was the direct result of investing in dedicated maintenance facilities nationally, together with bolstering its maintenance management team capability, training and recruiting.

Patrick Tallon, Civmec’s CEO, said: “We see the commitment towards the continual growth of a maintenance division as a very strategic move to support the significant requirement to maintain the many new plants that have recently been constructed in the minerals and metals and oil and gas sectors across Australia.”

Civmec has traditionally been thought of as a multi-disciplinary heavy engineering construction company.

Roy Hill is a 55 Mt/y iron ore mining, rail and port operation in Western Australia’s Pilbara region. Civmec previously carried out four contracts as part of the build, included heavy engineering and structural, mechanical, piping and electrical instrumentation packages.