Tag Archives: Monadelphous

Monadelphous after Chile mining exposure with Buildtek, Maqrent deal

Mining mergers and acquisitions, Mining services, , , , , , ,

Engineering company Monadelphous Group is expanding its South America presence through the acquisition of 75% stakes in Chile-based construction and maintenance services contractor, Buildtek SpA, and plant and equipment hire company, Maqrent SpA.

Buildtek provides multidisciplinary construction and maintenance services to the mining sector in Chile, having facilities in Antofagasta, Rancagua and Calama, and a head office in Santiago. Maqrent provides a range of plant, machinery and equipment for hire to Buildtek and external customers in the mining and construction sectors. Customers include major resources and energy companies such as Codelco, BHP, Albemarle, Anglo American and GNL Quintero. The business achieved an annual turnover in excess of CLP20 billion (A$24.7 million) in the last financial year.

Monadelphous Managing Director, Rob Velletri, said the acquisition formed part of the company’s markets and growth strategy, through the expansion of its existing services into new geographical regions. The announcement was the result of “significant efforts” over a number of years to understand the South American market, he added.

“The acquisition enables our entry into the growing Chilean resources market through an established and well-recognised operator. We will support Buildtek and Maqrent as they continue to grow and expand in the South American market,” he said.

Monadelphous is paying CLP5 billion in cash to acquire 75% of the companies, with an option to purchase the remaining 25% in three years’ time. The companies were founded in 2007 by Victor Valech and employ around 700 people. Valech will continue to manage and run the operations in Chile, with support from Monadelphous.

Monadelphous adds ‘inflow’ infrastructure work to BHP South Flank iron ore package

Mineral project development, Mining equipment, Mining services, Steel and iron ore, , , , ,

Engineering company Monadelphous Group says it has been awarded a second construction contract, valued at A$104 million ($74 million), at BHP’s South Flank iron ore project in the Pilbara region of Western Australia.

The contract includes structural, mechanical, piping and electrical and instrumentation works associated with the project’s inflow infrastructure and brings the total value of work secured by Monadelphous on this project to A$212 million, the company said.

The company’s previous contract – awarded last month – includes structural, mechanical, piping and electrical and instrumentation works associated with the project’s outflow infrastructure.

Work under the inflow infrastructure contract is expected to start immediately and be completed by March 2021, according to Monadelphous.

Monadelphous Managing Director, Rob Velletri, said the award of a second contract at South Flank enables Monadelphous to realise efficiency synergies between the two packages of work, and underlined the strength of its long-term relationship with BHP.

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.

Monadelphous wins more iron ore work off BHP

Bulk handling, Equipment maintenance, Mine operation news, Mining maintenance, Mining services, Steel and iron ore, , , , , , , ,

Australia-based engineering group Monadelphous has been awarded a contract with BHP’s iron ore division worth approximately A$240 million ($172 million) over a three-year period.

The contract, which contains an additional two one-year extension options, involves the provision of general maintenance services at BHP’s Mt Whaleback, Jimblebar, Eastern Ridge, Mining Area C and Yandi mine sites, in the Pilbara of Western Australia.

Monadelphous Managing Director, Rob Velletri said the contract built on the company’s long-standing relationship with BHP, on both construction and maintenance projects, over the past two decades.

“We look forward to further developing our relationship with BHP over the coming years, growing our operational footprint in the Pilbara and continuing to strengthen our long-term commitment to the region and the communities in which we operate,” he said.

In 1996, Monadelphous’ engineering and construction division ventured into the iron ore market with BHP on the Yandi II project to construct the crushing and screening plant, while, in 2008, it secured part of the structural, mechanical and piping works for BHP’s Rapid Growth Project 4 at the Newman Hub iron ore processing facility.