Tag Archives: Monadelphous

Monadelphous Group secures work with BHP in Western Australia, Chile

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Monadelphous Group has secured new contracts and contract extensions in the resources, energy and infrastructure sectors totalling approximately A$110 million ($74 million).

The company says it has been reappointed to the BHP WAIO Site Engineering Panel for a three-year period to continue providing multi-disciplinary services at BHP’s mine site and port operations in the Pilbara region of Western Australia.

Monadelphous has also been awarded a five-year contract to provide pipeline maintenance services in the Queensland coal seam gas market.

In Chile, Monadelphous’ maintenance and construction services business, Buildtek, has secured several contracts with Minera Escondida. This includes two contracts at the Escondida copper mine, majority-owned by BHP, for improvements to the water capture and drainage system and repairs associated with the oxide tank. A contract has also been secured for repairs and improvements to water storage tanks at the Puerto Coloso Filter Plant. All work is expected to be completed in 2023.

Additionally, the company has secured a contract with Liontown Resources for the supply and fabrication of structural steel and platework for the Kathleen Valley lithium project in Western Australia. The work is expected to be completed by mid-2023.

Kathleen Valley is one of the world’s largest and highest-grade hard-rock lithium deposits and, with an initial 2.5 Mt/y production capacity, it is expected to supply circa-500,000 t/y of 6% lithium oxide concentrate. First production is expected in the June quarter of 2024.

Rio Tinto details technology leaps at Gudai-Darri upon official opening

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A week after delivering first ore, Rio Tinto’s Gudai-Darri mine, in Western Australia, has officially been opened, marking a major milestone for the company’s most technologically advanced mine.

Pilbara Traditional Owners, the Banjima People, and Western Australia’s Minister for Mines and Petroleum; Energy, Bill Johnston MLA, today joined Rio Tinto employees as well as valued partners and suppliers to celebrate the official opening.

Since development commenced in April 2019, more than 14 million workhours have culminated in the delivery of Rio Tinto’s 17th and most technologically advanced iron ore mine in the Pilbara. Development of the mine supported more than 3,000 jobs during the construction and design phase with the operation requiring around 600 permanent roles.

With an expected life of more than 40 years and an annual capacity of 43 Mt, Gudai-Darri will underpin future production of Rio Tinto’s Pilbara Blend™ product. It’s expected to increase iron ore production volumes and improve product mix from the Pilbara from the second half of this year, the company says. The mine is expected to reach capacity in 2023.

To optimise mine safety and drive productivity, Gudai-Darri features an unprecedented deployment of technology, much of it industry-leading. This includes the use of robotics for the ore sampling laboratory as well as for distribution of parts in the new workshop.

This goes from autonomous trucks, trains and drills, standard across many Rio Tinto mines in the Pilbara, to a full digital replica of the processing plant which allows teams to monitor and respond to data collected from the plant. The same digital asset data is used to provide a feature rich, interactive 3D environment for virtual reality training. These autonomous assets are monitored remotely from Rio Tinto’s Operations Centre 1,500 km away in Perth.

The technology spread includes 23 Caterpillar 793F autonomous haul trucks and three Caterpillar MD6310 autonomous drills. The trucks, in this case, implement real-time ore tracking using sensors to provide live dig face progression, while data-informed modelling from the drills helps to build more accurate assessments of existing ground conditions and improve safety. In collaboration with Caterpillar, Rio Tinto is advancing the development of zero-emissions autonomous haul trucks. Once development is complete, it is anticipated the world’s first operational deployment of Caterpillar 793 zero-emissions autonomous haul trucks will be at Gudai-Darri.

Gudai-Darri also hosts the world’s first autonomous water carts.

The new vehicles, developed in partnership with Caterpillar, are primarily used for dust suppression on site, enhancing productivity by enabling mine operations to digitally track water consumption and reduce waste. The vehicle’s intelligent on-board system detects dry and dusty conditions on site, triggering the application of water to roads to keep them in good condition.

And, of course, it has autonomous trains under its AutoHaul™ system, which has been fully operational since June 2019.

The company has also invested in what it says is its first “rotable bucketwheel reclaimer”.

It explained: “Traditionally reclaimer maintenance requires a prolonged shutdown while several components are removed. This patented world first will enable the entire bucket wheel module to be changed out for maintenance, improving safety and efficiency.”

With the help of Scott Automation, the company has also introduced a robotic ore sampling lab on site, while its heavy mobile equipment warehouse is the home to four automatic guided vehicles.

Rio Tinto Iron Ore Chief Executive, Simon Trott, said: “We’ve worked closely with both the Banjima and Yindjibarndi People through the planning and development stages of Gudai-Darri and we look forward to partnering with them into the future to ensure the project achieves significant social and economic benefits.

“Gudai-Darri represents a step-change in the deployment of automation and technology within our iron ore business and a fantastic demonstration of the talent, ingenuity and capability that exists in Western Australia, a region which is now known globally for its technical excellence and innovation. Gudai-Darri’s combination of data and analytics, machine learning and automation, will make this mine safer and more productive.

“Gudai-Darri is our first greenfield mine in the Pilbara in more than a decade and a multi-billion-dollar investment in the State of Western Australia that will operate for decades to come.”

Western Australia’s Minister for Mines and Petroleum; Energy, Bill Johnston MLA, said: “I’m impressed by Rio Tinto’s innovation and sustainability; this is a prototype of the mine of the future. Once the new solar farm (a 34 MW farm consisting of about 83,000 panels) is complete it will be able to power one-third of Gudai-Darri’s operational needs with renewable energy.”

A total of A$3.2 billion ($2.2 billion) in goods and services were sourced within Western Australia during the construction phase of the Gudai-Darri Project with contracts valued at A$1.5 billion awarded directly to Western Australia-registered businesses such as NRW, Primero, DTMT Construction Company, Southern Cross Electrical Engineering and Monadelphous Engineering Associates.

This includes over A$100 million awarded directly to local Aboriginal businesses including White Springs, Lorrex Contracting, Hicks Civil & Mining, Brida, Karijini Development, Yurala Contracting Services, and Karlka FenceWright WA.

Monadelphous banks more work with Rio Tinto and BHP

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Monadelphous Group Limited says it has secured new contracts and contract extensions in the resources sector totalling approximately A$110 million ($80.1 million).

The company has secured a 12-month extension to its existing contract with BHP Iron Ore for the provision of general maintenance services for shutdowns, outages and minor capital works at the Mt Whaleback, Jimblebar, Eastern Ridge, Mining Area C and Yandi mine sites located in the Pilbara region of Western Australia.

Monadelphous has also been awarded several new contracts with Rio Tinto in the Pilbara under its sustaining capital projects panel agreement for:

  • The construction of new hawser rails and upgrades to the existing dolphins at Cape Lambert A and B wharves. The work, which includes design, fabrication, supply and installation, is expected to be completed by July 2023; and
  • The upgrade of conveyor gravity take-up systems at East Intercourse Island and Cape Lambert, with work expected to be completed in the September quarter of 2022.

In addition, Monadelphous has also secured a 12-month extension to its existing mechanical and electrical maintenance, shutdown and project services contract across BHP’s Nickel West operations in Western Australia.

Rio’s WTS2 iron ore project hits first ore milestone, Mondium says

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Mondium says first ore has been achieved at Rio Tinto’s Western Turner Syncline Phase 2 project (WTS2) in Western Australia.

Rio Tinto awarded Perth-based Mondium a A$400 million ($276 million) contract to design and construct the mine in early 2020. This saw the company, a joint venture involving Monadelphous and Lycopodium, undertake all engineering and design, procurement and site construction works associated with the WTS2 development, including the process plant, overland conveyor and non-process infrastructure.

Celebrating the achievement, Mondium said it was a significant achievement for its EPC team, Rio Tinto and delivery partners.

It added: “593 days and more than two million site hours worked culminated in the first loader bucket tipping high-grade ore into the WTS2 run of mine bin. Forty minutes later, the ore was discharged to the WTS1 belt and delivered to the Tom Price stockpiles.”

Back in November 2019, Rio said it would invest $749 million in the development of WTS2 at its Greater Tom Price operations, facilitating mining of existing and new deposits and including construction of a new crusher as well as a 13 km conveyor. In addition to this, the haul truck fleet at the mine would be fitted with Autonomous Haulage System technology to enable autonomous haulage. This fleet has since been commissioned.

Monadelphous adds to mining work with BHP, Rio and Codelco contracts

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Monadelphous Group Ltd says it has secured a number of new construction and maintenance contracts in the resources sector totalling approximately A$200 million ($146 million).

In Queensland, Australia, Monadelphous has been awarded a new three-year contract with Queensland Alumina Ltd to continue to provide general mechanical maintenance services at its operations in Gladstone. The company has also secured a 10-month extension to its existing contract with BHP Mitsubishi Alliance for provision of dragline shutdown and maintenance services to its operations in the Bowen Basin.

Monadelphous has secured a number of contracts in the iron ore sector in the Pilbara region of Western Australia.

This includes two contracts with BHP under its existing WAIO Site Engineering Panel Agreement. The first is for the refurbishment of cells and rotating equipment on BHP’s Nelson Point Car Dumper 1, with work expected to be completed in the December quarter of 2021, and secondly, an extension to the haul road at the Jimblebar mine, with work expected to be completed in the June quarter of 2022.

A contract has also been secured with Rio Tinto for construction associated with the Marandoo Dewatering Sump Project, with work expected to be completed in the March quarter of 2022.

In Chile, Monadelphous’ maintenance and construction services business, Buildtek, has secured a construction contract with Codelco for work associated with the development of a new underground section of the El Teniente copper mine in Rancagua. Work is expected to be completed in the March quarter of 2023.

The company acquired a majority stake in Buildtek back in 2019.

Monadelphous Managing Director, Rob Velletri, said these new contracts and extensions continued to demonstrate the company’s solid track record of delivering for its customers.

“We are pleased to have secured this work and look forward to continuing to build on our valued long-term customer relationships,” he said.

Monadelphous boosts fabrication design, supply options in Western Australia

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Engineering firm Monadelphous is further integrating its supply chain in the south-west region of Western Australia with the acquisition of RTW Steel Fabrication and Construction.

Located in Capel, Western Australia, RTW offers industry-leading steel fabrication, processing and construction services for mining, industrial and commercial projects throughout Western Australia, Monadelphous said. It has been a long-term supplier of these services to Monadelphous and many other leading businesses, it added.

Monadelphous’ South-West Area Manager, Mark Holdman, said the acquisition of a local steel fabrication business in the region contributes to Monadelphous’ further growth in the region.

“RTW, as part of the Monadelphous team, complements our existing operations in the south-west and consolidates our presence in the area,” he said. “But, more importantly, it gives us the opportunity to offer additional services to existing customers including design, estimating, supply/fabrication and installation.”

Monadelphous Group banks engineering work with BHP, Rio and Codelco

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Monadelphous Group Ltd has secured several new construction and maintenance contracts in the resources sector totalling around A$215 million ($163 million).

Included within this slate of new work is a contract for smelter campaign maintenance works at the BHP owned Olympic Dam copper mine in South Australia. Monadelphous said work will commence immediately and is expected to be completed in December 2021.

Monadelphous has also been awarded a two-year extension to its existing maintenance services contract at Olympic Dam. The contract scope includes civil, structural, mechanical, building maintenance and electrical services, as well as the addition of underground rail maintenance services.

In the iron ore sector in the Pilbara region of Western Australia, Monadelphous has been awarded several contracts, including several sustaining capital contracts under its panel agreements with BHP and Rio Tinto; and a contract with Rio for the provision of construction and support services associated with the Gudai-Darri iron ore project, with work expected to be completed by the end of 2021.

In Chile, the company’s maintenance and construction services business, Buildtek, has secured a number of new contracts, including a three-year contract with Codelco for the operations and maintenance of water infrastructure at the Chuquicamata underground mine in Calama. Buildtek has been providing these services on this site since 2018.

In addition, the engineering company has secured two new contracts with Codelco for maintenance activities associated with the concentrator plant at El Teniente mine in Rancagua; and a contract with BHP Minera Escondida for the construction of modularised pump stations and associated infrastructure of the Escondida copper mine in Coloso.

Finally, Monadelphous, in collaboration with global heavy lifting services company Fagioli, has secured a contract with NMT International (Australia) to deliver specialist heavy lifting and haulage services at the Iron Bridge magnetite project, a joint venture between Fortescue Metals Group subsidiary FMG Magnetite Pty Ltd and Formosa Steel IB. The strategic collaboration with Fagioli enables Monadelphous’ specialist Heavy Lift business to increase capacity and broaden capability for the Australian resources and energy markets, it said.

Monadelphous set to take on more BHP work in Australia, Chile

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Monadelphous Group has gained a further foothold in numerous BHP majority-owned projects as part of its latest construction and maintenance contract awards in the resources and energy sectors that come with a combined value of around A$100 million ($72 million).

Under its recently awarded WAIO Site Engineering Panel Framework Agreement with BHP, the company has been awarded the following contracts in the Pilbara region of Western Australia:

  • A contract for the supply and installation of the Jimblebar Transfer Station project, with work expected to be completed by December 2020; and
  • A contract for the refurbishment of Car Dumper 3 at Nelson Point, Port Hedland, with work expected to be undertaken during the second half of 2020.

Further, Monadelphous has also been awarded a contract under its WAIO Asset Panel Framework Agreement with BHP for the Port Availability Improvement project to provide multidisciplinary brownfield modification works to conveyors and transfer chutes across the Nelson Point and Finucane Island facilities, in Western Australia. The work is expected to be completed in the second half of the 2021.

Then, in Chile, Monadelphous has secured several new contracts through its maintenance and construction services business, Buildtek, which it acquired late last year.

This includes two contracts with Minera Escondida BHP, for the construction and assembly of a communications tower and associated infrastructure at the Escondida copper mine, as well as an upgrade to the conveyor system feeding the Filter Plant Warehouse at Coloso Port, both in the Antofagasta region.

These contract awards were announced the day before Monadelphous released its 2020 financial year results, which showed the company generated A$1.65 billion of revenue in the 12 months and produced a net profit after tax result of A$36.5 million.

REMA TIP TOP adds more conveyor belting to Monadelphous South Flank contract

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REMA TIP TOP Australia says it has been contracted by Monadelphous to install a further 24 km of conveyor belting and provide expert splicing services for the “outflows infrastructure” at BHP’s South Flank iron ore project, in the Pilbara of Western Australia.

It follows a contract to install more than 50 km of conveyor belting at South Flank that was awarded last year. Monadelphous, meanwhile, was awarded a major infrasture package for the mine build in February 2019.

The new contract is the third in a series of agreements that sees REMA TIP TOP supporting Monadelphous to deliver key infrastructure projects for the region’s largest miners.

This includes an agreement to provide splicing capabilities across more than 10 km of new overland conveyor and modifications to three existing plant conveyors at Rio Tinto’s West Angelas Deposits C & D project.

REMA TIP TOP Industry Australia CEO, Michel Ciepelinski, said: “This new contract is a testament to Monadelphous’ faith in our ability to deliver. We have demonstrated that we have both the skills and capacity to provide expert services in full conveyor solutions and this new agreement extends our successful relationship.

“Now, more than ever before, we are committed to helping Australian industry keep moving and its projects like this that are critical in ensuring our economy and the nation maintains momentum.”

The new contract will see the delivery of belt installation works across 13 conveyors, which tie into the existing BHP Mining Area C stock yard.

Monadelphous engineering and maintenance divisions hit by COVID-19

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Engineering company Monadelphous Group says both its Engineering Construction and Maintenance divisions have been hit by measures to curb the spread of the COVID-19 virus.

In reaction to this, it said its Chairman, Managing Director and Non-Executive Directors had agreed to a 30% reduction in salary and fees for the next six months, while the Executive and General Management teams would take 10-20% salary cuts over the same period.

In a market update issued last week, Monadelphous said COVID-19 operational impact measures taken by governments and industry across the world to prevent further spread of the virus had impacted the economy, resulting in the delay, suspension, deferral or reduction of services across a range of the company’s projects and worksites, as well as materially disrupting productivity levels.

“Monadelphous continues to take all necessary measures required to proactively manage the business through this unprecedented period to ensure the safety of its employees and sustain business continuity,” it said.

In the Engineering Construction division, which recently secured major contracts on BHP’s South Flank, Rio Tinto’s West Angelas (pictured) and Albemarle Lithium’s Kemerton projects, Monadelphous said it had experienced supply chain issues causing delays on large resources construction projects currently in progress. It had also witnessed several temporary deferrals to potential new construction contract award dates.

In its maintenance division, the company has experienced a material reduction in activity levels, particularly in fly-in-fly-out operations with customers reducing non-essential work, delaying discretionary maintenance spend and deferring shutdowns, it said.

On top of this, and following several water projects approaching completion recently experiencing an escalation in contract disputes and “disappointing levels” of profitability, Monadelphous said it planned to discontinue its Water Infrastructure business operations in New Zealand, plus consolidate its east coast engineering construction operations into a single Eastern Australian business unit. This followed a strategic and operational review of the business in Australia and New Zealand.

Rob Velletri, Monadelphous Managing Director, said: “We will continue to work closely with our customers during these challenging and uncertain times. Our disciplined and prudent management, loyal workforce and strong balance sheet mean that we are well positioned to deal with the challenges ahead, and the opportunities that will arise in time. I am confident that the actions we have taken to refocus the Water Infrastructure business will deliver more profitable and sustainable pipeline of opportunities over the longer term.”