Tag Archives: Hazer Group

Primero banks new work with Fortescue, Rio Tinto and Hazer Group

Primero Group says it has recently booked new business totalling some A$55 million ($39 million) with Fortescue Metals Group, Rio Tinto and the Hazer Group as it continues to build out its 2021 financial year contracted order book.

First, it has been awarded the engineering, procurement and construction contract for the Non-Process Infrastructure (NPI) at Fortescue’s Eliwana mine and rail project, in the Pilbara.

Works commenced in late July based on a limited notice to proceed, with the full contract now awarded to Primero following a successful Early Contractor Involvement (ECI) process. The contract includes the complete engineering design, procurement and construction of heavy vehicle workshops and washdown and refuelling infrastructure required for the new Eliwana mine, with works expected to be completed in the 2021 financial year.

Once completed, the $1.275 billion Eliwana project, which includes the building of a 30 Mt/y iron ore processing facility, will maintain Fortescue’s overall production rate of a minimum 170 Mt/y over 20 years.

With Rio Tinto, Primero has been awarded two multi-year Master Service Agreements for NPI and Structural, Mechanical, Piping services across the miner’s Pilbara operational and project locations. The two contracts have an initial term of three years, with an option for a two-year extension. They cover sustaining capital and maintenance projects required over that period across all Rio Tinto Iron Ore Pilbara sites, it said.

The services cover design, procurement and construction activities for engagement under negotiated commercial terms in a “panel style agreement”, according to Primero.

Primero has also been awarded an EPC contract for Hazer Group’s hydrogen/graphene commercial demonstration plant in Western Australia at the Woodman Point Water Treatment Facility.

Hazer is undertaking the commercialisation of the Hazer Process, a low-emission hydrogen and graphite production process. This process enables the effective conversion of natural gas and similar methane feedstocks, into hydrogen and high-quality graphite, using iron ore as a process catalyst, according to the company.

“The full project award has followed a successful ECI process that has extended over the past 12 months,” Primero said. “This process was targeted at developing the technology engineering to the point where a commercial contract could be executed to deliver the project. The project is the first of its kind in the new global renewables energy market and is patented groundbreaking technology in the hydrogen space.”

Alongside this, Primero said it had been awarded the detailed design contract for a 130 km water delivery pipeline and associated pumping stations for the Covalent Lithium Mt Holland project feasibility study in Western Australia.

Primero said its committed order book for the 2021 financial year now stands at around A$285 million.

Primero gets the nod for process plant work at Core’s Finniss lithium project

Primero Group has been conditionally awarded a multi-year build-own operate (BOO) and operations and maintenance (O&M) contract with Core Lithium at the Finniss project, near Darwin in the Northern Territory of Australia.

In addition to this, Primero has also secured recent early contractor involvement (ECI) contract wins with Agrimin Ltd (Mackay sulphate of potash project) and Hazer Group (hydrogen commercial demo plant), both of which deliver strong follow-on potential for large-scale engineering procurement and construction (EPC) contract roles, the company says.

The agreement with Core, worth around A$100 million ($69.9 million) at Finniss, follows the company being named preferred EPC contractor status early this year. The contract also offers the opportunity for extension after the initial four-year term, Primero said.

Furthering Primero’s partnering contract model, the preferred contractor status has been extended to include conditional award of Primero’s first BOO contract for the crushing and screening circuit, the EPC and the complete O&M for the processing facility, Primero said.

Core’s development of Finniss is initially centred on production from the high-grade Grants deposit as an open-pit mining operation and construction of a 1 Mt/y dense media separation process plant to produce a 5% Li2O spodumene concentrate for export.

The prefeasibility study on the project envisaged a total capex of A$53.55 million and A$168 million in free cash generation over a period of 26 months based on a price of $649/t for its concentrate.

Primero Managing Director, Cameron Henry, said: “Primero is continuing to build a strong foundation and reputation for delivery. Current revenue run rates demonstrate our ability to concurrently manage growth and deliver on multiple projects, across various Australian and global jurisdictions. Our existing client relationships, and the repeat nature of large amounts of our business, provide a strong platform from which to drive and achieve our strategic goals.”

Hazer Group eyes commercial synthetic graphite goal as pilot plant tests recommence

ASX-listed Hazer Group says its Fluidised Bed Reactor (FBR) pilot plant has been relocated from Sydney to Kwinana, in Perth, Australia, and the company is ready to re-commence its testing programme.

The Hazer FBR pilot plant is now located next to the Paddle Tube Reactor (PTR) pilot plant, being developed by Mineral Resources in accordance with the cooperation agreement executed by the two companies back in December 2017. This pact covered the design and construction of a commercial-scale synthetic graphite facility, with Mineral Resources funding all commercial development and Hazer providing intellectual property and technical assistance.
Hazer said Mineral Resources’ PTR pilot plant has also commenced commissioning.

Hazer is undertaking the commercialisation of the Hazer Process, a low-emission hydrogen and graphite production process. The Hazer process enables the effective conversion of natural gas and similar methane feedstocks, into hydrogen and high-quality graphite, using iron ore as a process catalyst. The FBR pilot plant allows the company to trial the Hazer process.

Hazer CEO, Geoff Ward, said: “We are very pleased that these important milestones have been achieved and we look forward to seeing the results from the PTR pilot plant over the coming months as we progress our collaboration with Mineral Resources to develop a commercial synthetic graphite production facility.

“With regards to the Hazer FBR programme, the outstanding results achieved in 2018 have given us the confidence to proceed into front-end engineering and design studies for a commercial demonstration plant (CDP).

“As previously advised, these studies have progressed well and are expected to be completed in April. We are continuing to work with potential offtake hydrogen partners, gas suppliers and project funders to bring together the first commercial Hazer facility.”

The company is targeting securing all the necessary project agreements to take a final investment decision on the CDP by mid-2019, with a projected commencement date for the CDP of the December quarter of 2020.