Tag Archives: Decmil

Decmil looks to enter water, power sectors with Avid Resources tie-up

Decmil, in support of its overall strategy, has entered a strategic partnership with Avid Resources to further enhance its integrated service offerings and provide access to the water and power sectors.

Avid Resources is a multi-disciplinary business providing market-leading construction and maintenance for metals and minerals projects; end-to-end electrical, instrumentation and control solutions; and extensive design, civil, mechanical and electrical experience across water treatment plants and wastewater treatment facilities.

Through this strategic partnership, Decmil and Avid will be able to leverage their respective capabilities providing a fully integrated solution, Decmil says.

Avid says it has a proven track record of successfully delivering medium and large projects for the mining and process industries. Its capabilities include innovative modular construction solutions and integrated structural, mechanical, piping, electrical and instrumentation services.

Decmil captures NPI contract at Iron Bridge Magnetite project

Decmil Group says it has been awarded a circa-A$41 million ($30 million) contract to undertake non-mining process infrastructure works at the Iron Bridge Magnetite project in the Pilbara region of Western Australia.

Construction is scheduled to commence in September 2020 and be completed by May 2021.

Under the scope of works, Decmil will design and construct a bulk fuel storage and transfer facility, a mobile maintenance complex, including workshops, warehouses and related satellite office and site services facilities.

The bulk fuel storage and transfer facility will provide a refuelling facility for heavy vehicles, while the mobile maintenance complex includes a heavy vehicle workshop that incorporates locker storage, tool storage and an administration area, Decmil said.

The $2.6 billion Iron Bridge Magnetite project, owned by Fortescue Metals Group subsidiary FMG Iron Bridge Ltd and Formosa Steel IB, is expected to see a new magnetite mine developed to support production of 22 Mt/y of high grade concentrate, according to Fortescue. First concentrate is expected to be produced by mid-2022.

Decmil’s agreement is the latest in a stream of contracts the JV has issued recently, including the award of a wet processing plant build to CPB Contractors, a civils contract awarded to Civmec to build the structural concrete components for the dry plant at the project, and PROK’s contract for the design, manufacture and supply of conveyor pulleys at Iron Bridge.

Decmil CEO, Dickie Dique, said the company was delighted to secure works at one of Australia’s most significant mining projects.

“Crucially, this award at such a major project enhances our credentials to potentially secure more work in a resurgent iron ore and magnetite sector,” Dique said.

Wagners to deliver quarry contract at Adani’s Carmichael coal project

Toowoomba, Queensland-based Wagners has been announced as the lead contractor to deliver a plus-A$35 million ($23.7 million) quarry operations package for Adani’s Carmichael coal project, in the Australian state.

The contract will see Wagners build and operate the quarry, which will be located about 160 km outside Clermont, and deliver quarry materials for supporting infrastructure on the Carmichael mine and rail projects, such as roads, camps, pads, dams and mine civil works.

Wagners are known for the expertise in developing and operating hard-rock quarries, after commencing quarry operations 25 years ago to support their own pre-mixed concrete business, Adani said.

The announcement comes soon after Martinus was awarded a plus A$100 million rail laying contract and Decmil receiving a plus-A$40 million contract to build rail camps, both being delivered out of Rockhampton.

The development of the first stage 10 Mt/y coal mine at Carmichael, which was given the thumbs up to start construction earlier this year, will see a circa-200 km narrow gauge rail network built that connects to existing rail infrastructure and goes from the mine to the Port of Abbot Point. The initial design capacity of this line is for 40 Mt/y, with the ability to further expand, according to Adani.

Carmichael Project Director, David Boshoff, said: “We have more than A$500 million in contracts now awarded for the Carmichael project and we are reaching out to all corners of the state to help us deliver them.”

He added: “The operations of the rail camps will be based in Collinsville, earthworks and civil works are coming from Townsville and Rockhampton, fuel supply is from Townsville, telecommunications is from Mackay, rail track laying and rail camp construction is from Rockhampton and many other regional businesses and locations across regional Queensland are also getting involved.”

Decmil Group wins work on Adani’s Carmichael coal project

Decmil Group says it has been awarded two packages of work on the Adani-owned Carmichael coal project in Queensland, Australia.

The two contracts, worth some A$41.4 million ($28.5 million) in total, will see its Queensland business unit design and construct the rail accommodation on the rail network, with the second package being an early contractor services (ECS) contract to scope the bulk earthworks required along the primary freight rail alignment.

Should the ECS be successfully completed it is anticipated Decmil will enter into contractfor the construction works, it said.

The development of the first stage 10 Mt/y coal mine at Carmichael, which was given the thumbs up to start construction earlier this year, will see a circa-200 km narrow gauge rail network built that connects to existing rail infrastructure and goes from the mine to the Port of Abbot Point. The initial design capacity of this line is for 40 Mt/y, with the ability to further expand, according to Adani.

Work is expected to commence immediately on both packages, according to Decmil.


Decmil results buoyed by resources contracts

Decmil Group Managing Director and CEO, Scott Criddle, says the group is seeing strong market conditions in the infrastructure, resources and renewable energy sectors across Australia and New Zealand and expects its revenue growth to continue in the near term.

Criddle’s assessment came after the company published its financial results for the six months to end-December, which saw revenue climb 96% higher year-on-year to A$276 million ($196 million) as the company secured several new and larger contracts in the latter part of 2018. Among these was a contract extension from BHP related to work on the Mulla Mulla village in Western Australia.

During the period, the company also completed projects for Fortescue Metals Group, in relation to its Port Hedland tug harbour, and non-process infrastructure for Rio Tinto at its Amrun bauxite mine.

Earnings from continuing operations before interest, tax and depreciation was A$9.3 million, up from $1.3 million a year earlier, while the group generated operating cash flow of A$30.9 million for the six months, up from A$1.7 million previously.

As of the end of February, Decmil said it had around A$650 million of committed revenue for the full 2019 financial year and more than A$400million of work in hand (contracted and preferred) for the 2020 financial year.

BHP grants Decmil extension to Mulla Mulla camp contract

Decmil Group’s wholly-owned subsidiary, Decmil Australia, has been awarded an extension to its contract with BHP at the Mulla Mulla camp in Western Australia.

The works, which upgrade and expand the existing Mulla Mulla village, will support current operations at Mining Area C and the South Flank iron ore project, the latter of which is currently in execution.

The extension adds to the A$13 million ($9.5 million) early works package announced in August 2017 and the A$75 million stage one package announced in November 2017.

The second stage includes the refurbishment, relocation and installation of a further 632 rooms, the installation of 10 laundries and the supply and installation of new verandas. The scope also includes internal roads, drainage and concrete footpaths. The works on the second stage will commence immediately.

The 80 Mt/y South Flank iron ore project is aimed at sustaining BHP’s Western Australia iron ore production as the Yandi mine is exhausted over the next five to ten years. The South Flank deposit is around 130 km by road northwest of the town of Newman, and approximately 8 km to the south of the company’s existing Mining Area C operation.

BHP commenced its first blast at the project in September and expects first ore extraction to take place in 2021.