Tag Archives: Primero Group

Primero, Mineral Technologies enlisted for Strandline’s Coburn mineral sands project

Primero Group has been awarded preferred EPC status on a substantial contract with Strandline Resources on the Coburn mineral sands project in Western Australia.

The total volume of awarded engineering procurement and construction (EPC) works totals around A$150 million ($107 million), according to Primero, and follows an initial eight-week Early Contractor Involvement (ECI) process that provided further definition of the delivery strategy and project deliverables between the groups. It also coincided with the appointment of Mineral Technologies (MT), a global services provider and leader in the design and supply of mineral sands processing facilities (and a subsidiary of Downer Group), as the strategic technology partner alongside Primero for the project delivery.

Strandline said the contract involved the engineering, procurement, construction, commissioning and performance testing of the Wet Concentration Plant (WCP), Mineral Separation Plant (MSP) and associated processing circuits at the operation.

The Coburn WCP is designed to beneficiate the heavy minerals (ilmenite, leucoxene, rutile, zircon and monazite) and reject the non-valuable, lighter minerals through multiple stages of high capacity gravity separation and classification, according to Strandline. The rich heavy mineral concentrate produced from the WCP will be transported to the MSP and stockpiled ready for processing.

“The WCP infrastructure is relocatable and is planned to be moved several times during the mine life as the mine advances along the orebody,” Strandline said. “The MSP design comprises conventional electrostatic separation, gravity and magnetic fractionation to recover a range of premium-quality final products, including chloride ilmenite, rutile, premium zircon and zircon concentrate.”

The full project award is subject to Strandline Resources approving a Final Investment Decision in the coming months, Primero said. The ECI process came after Strandline’s recent A$18.5 million equity raising.

Primero Managing Director and CEO, Cameron Henry, said: “This award is an excellent example of Primero’s ECI phase in action and adds to our growing book of projects in preferred contractor status. We have worked intensively with Strandline over the past two months in designing a delivery solution that best meets the key project objectives and value drivers, while also minimising execution risks.”

Strandline has also already appointed Piacentini & Son to design and construct three mobile dozer mining units for the project, while Macmahon has been named as the principal contractor to provide site-wide civil and bulk earthworks construction services for the project.

Primero Group lands contract addition at Rio Tinto’s Koodaideri project

Multi-disciplinary engineering and contracting firm, Primero Group, says it has been awarded a material contract extension to the existing Koodaideri Non-Process Infrastructure (NPI) contract awarded in late 2019 by Rio Tinto.

Under the extension, the company will construct the Koodaideri Airport Terminal and Infrastructure, with the contract valued at around A$20 million ($14 million). This will involve the construction delivery of the works to be completed in parallel with the existing contract programmed for completion in 2021.

The contract value of the entire NPI contract now stands at circa-A$150 million, compared with the A$115 million under the original award. The difference represents additional “options selections” that Rio confirmed and included for implementation at the project earlier this year.

Primero’s workforce on the project will peak at approximately 180 personnel and site construction work is well underway, the company noted.

Construction on Koodaideri Phase 1 started in 2019 with first production expected in late 2021. Once complete, the $2.6 billion mine will have an annual capacity of 43 Mt, underpinning production of the company’s flagship iron ore product, Pilbara Blend, Rio says.

With this recent NPI contract addition, Primero’s financial year 2021 contracted order book now stands at approximately A$220 million, the company said.

Primero Managing Director and CEO, Cameron Henry, said: “It is pleasing to be awarded further core NPI work from such a great project partner and Tier 1 client as Rio Tinto. We continue to deliver to plan across all major project works and are increasingly optimistic about the operating and growth outlook for the next year and beyond.”

Rio increases scope of Primero work at Koodaideri, Robe Valley

Primero says it has been awarded variation extensions to contracts it already has in place with Rio Tinto at the in-development Koodaideri iron ore project and the Robe Valley iron ore operations, both in the Pilbara of Western Australia.

The multi-disciplinary engineering and contracting firm said the extensions have a combined value of around A$20 million ($12.3 million).

The variations awarded under the Mesa K (Robe Valley) contract reflect additional civil works at the Mesa J PP2 (process plant 2) wet processing facility, currently being developed as part of Rio Tinto’s Robe Valley sustaining projects, Primero said.

Back in October 2018, Rio, together with joint venture partners Mitsui and Nippon Steel & Sumitomo Metal, approved an investment of $1.55 billion to sustain production capacity at two projects forming part of the Robe River joint venture, which also includes Robe Valley.

The additions to the Koodaideri contract, meanwhile, reflect additional “options selections” that have now been confirmed and included for implementation, according to Primero.

Construction on Koodaideri Phase 1 started in 2019 with first production expected in late 2021. Once complete, the $2.6 billion mine will have an annual capacity of 43 Mt, underpinning production of the company’s flagship iron ore product, Pilbara Blend.

Primero Group secured a A$115 million contract with Rio Tinto’s iron ore division to design, fabricate, supply, deliver, construct, install, test and commission the Mine Infrastructure Area and associated facilities at Koodaideri back in late 2019.

The Mesa J works (under the Mesa K contract) are expected to be completed in 2020, Primero said. The additional Koodaideri works are planned to be completed in-line with the original contracted time frame of mid 2021.

Primero lays foundations for world’s largest rail mounted stackers, reclaimer

Primero Group looks set to hit the June 30 deadline for the pre-assembly of two stackers and one “off-reclaim machine” for thyssenkrupp at the BHP-owned South Flank iron ore project, in Western Australia.

In an update posted today, Primero said it was nearing completion of the pre-assembly and dressing out of 24 machine modules for thyssenkrupp, with the last of these modules being “punch listed” and signed off in preparation for shipment.

The modules will complete the world’s largest rail mounted stackers and reclaimer, which are currently under construction on site in the state. thyssenkrupp said previously that the rail mounted stacker/reclaimer units will have a loading capacity of 20,000 t/h.

Primero has been carrying out the work at the Australian Marine Complex, in Henderson, south of Perth, Western Australia, with the company saying over 10 km of cable, 2 km of piping and 200 m of conveyors had been installed. The project has seen Primero reach 75,000 project hours loss time injury free, it added.

The Primero contract commenced last year and was expected to be completed in the current Australia financial year, ending June 30, 2020.

The $4.6 billion South Flank iron ore project will be one of the largest iron ore processing hubs in the world when operating. It includes an 80 Mt/y crushing and screening plant, an overland conveyor system and rail-loading facilities. The mine will replace production from BHP’s Yandi mine, which is nearing the end of its life.

Construction began in July 2018 and first production of iron ore is anticipated in 2021.

Primero Group to take on EPC contract at Rio’s Koodaideri iron ore mine

Primero Group has secured a A$115 million ($79 million) contract with Rio Tinto’s iron ore division that will see it design, fabricate, supply, deliver, construct, install, test and commission the Mine Infrastructure Area and associated facilities at the Koodaideri iron ore project in the Pilbara of Western Australia.

The scope includes the complete engineering, procurement and construction (EPC) contract of the facilities for this project, which will commence immediately and is scheduled to be completed in mid-2021.

Primero says it expects to employ a workforce of over 150 personnel at its peak.

Koodaideri, billed by Rio as an “intelligent mine”, will deliver a new production hub for Rio’s iron ore business in the Pilbara, incorporating a processing plant and infrastructure including a 166 km rail line connecting the mine to the existing network.

Construction on Koodaideri Phase 1 started this year with first production expected in late 2021. Once complete, the mine will have an annual capacity of 43 Mt, underpinning production of the company’s flagship iron ore product, Pilbara Blend.

In addition to mine infrastructure and the accommodation camp, an airport and mine support facilities will be built. Throughout the construction period, Rio expects to employ over 2,000 people with 600 permanent roles created once the mine is operational.

In addition to the Koodaideri work, Primero said it had been awarded Phase 2 of the proposed processing upgrade, on an engineering, procurement and construction management (EPCM) basis, for Northern Star Resources’ Pogo gold mine, in Alaska, USA.

The works will be conducted predominantly from Primero’s Americas Montreal (Canada) office with works progressively executed this winter to ensure construction windows are met in the summer period, it said.

The upgrade works will increase throughput of the current processing facility from 1 Mt/y to 1.3 Mt/y by January 2021, with the potential to move to a Phase 3 (1.5 Mt/y) over the coming years.

Primero said: “Works are set to progress over the next 12 months including detailed design and equipment procurement with the planning for on-site works commencing over the winter period to be executed in the warmer months, post winter.”

The award of the project is the first major contract with Northern Star Resources, Primero added.

Northern Star acquired Pogo, the company’s first mine outside of Australia, from Sumitomo Metal Mining late last year for $260 million.

Primero to work on stacker/reclaimers for BHP South Flank iron ore project

Primero Group Limited says it has been awarded a “significant contract” at the BHP-owned $4.6 billion South Flank iron ore project in Western Australia.

The ASX-listed company will carry out the pre-assembly of The South Flank Balance Machines for thyssenkrupp Industrial, it said.

thyssenkrupp was awarded the supply and installation of the Balance Machines by BHP in November 2018, Primero said.

Primero’s scope is the pre-assembly of the two stackers and one “off-reclaim machine” at the AMC (Australian Marine Complex), located in Henderson, south of Perth.

The machines will be the largest rail mounted stacker/reclaimers machines to be installed in the world, with a loading capacity of 20,000 t/h.

The contract is set to commence immediately and is expected to be completed in the current financial year, ending June 30, 2020.

Primero said: “The contract award represents another significant win for the company’s Non-Process Infrastructure division and will create up to 60 direct positions locally over the contract period.”

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.”

Primero starts engineering process plant for Agrimin’s Mackay SOP project

ASX-listed Agrimin has awarded Primero Group the engineering design contract for the process plant at the Mackay potash project, in Western Australia.

With Agrimin’s process consultants at Novopro Projects having already completed the process modelling and flowsheets for the definitive feasibility study at Mackay, Primero has commenced the engineering design for the plant.

A prefeasibility study for Mackay, 785 km south of the Port of Wyndham, envisaged the process plant having a capacity of 426,000 t/y of sulphate of potash (SOP) as a dry granular product, with the same study assuming a product mix of 50% granular and 50% standard product.

The engagement of Primero, a multi-disciplinary engineering group which specialises in the design, construction and commissioning of global resource projects, is on an early contractor involvement basis, with the initial awarded stage being the process plant design works.

“This engagement follows a competitive process to select a contractor with suitable experience and capabilities to undertake both the engineering design and subsequent construction of the process plant and associated site based non-process infrastructure,” Agrimin said.

The 2018 PFS outlined a 20 year project at Mackay that came with a $409 million capital cost and an average SOP grade of 8 kg/cu.m.

Primero, Qube and Lucas TCS named contractors at Core’s Finniss lithium project

Australia-based Core Lithium has awarded preferred contractor status for three key components of its 100%-owned Finniss lithium project, near Darwin in the Northern Territory.

The three contractors are key participants in the development team Core is assembling following the granting of the first mining licence earlier this month, it said.

Primero Group has been named the preferred engineering procurement and construction (EPC), and front-end engineering and design (FEED) contractor. Primero has worked on several Australia hard-rock lithium projects including Pilbara Minerals’ Pilgangoora operation and Tawana/Alliance’s Bald Hill mine.

Meanwhile, Qube Bulk Pty has received the status of preferred provider of haulage and transport solutions for Finniss, with Lucas Total Contract Solutions selected as preferred mining services contractor.

Core said it would work with all three companies to finalise contract terms that “reflect the most cost-effective and time-efficient solution for Finniss”.

The FEED study by Primero is underway to improve the accuracy of the EPC estimate on the 1 Mt/y processing plant and associated infrastructure at Finniss, the company said.

In line with its construction schedule, Core is targeting first production of spodumene concentrate from Finniss by the end of 2019.

Core’s Managing Director, Stephen Biggins, said: “These key contract roles are crucial for the success of the Finniss lithium project, so we did not make our decisions on who should be awarded these packages of work lightly. We believe we have selected the best contractors for the respective contracts out a field of worthy contractors, and look forward to working with Primero, Lucas TCS and Qube once the contracts have been finalised and the next phases of work at Finniss get underway.”

He added that final award of the contracts would follow the completion and release of a definitive feasibility study on Finniss, in addition to financing of the project.

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 ($38 million) and A$168 million (pre-tax) in free cash generation over a period of 26 months based on a price of $649/t for its concentrate.

Primero chasing battery materials work after ASX debut

Multi-disciplinary engineering company Primero Group has tapped investors for A$25 million as part of its listing on the Australian Securities Exchange.

The company, which has previously carried out work for the likes of Rio Tinto, CITIC Pacific Mining, PT Bumi Suksesindo and Resolute Mining, debuted on the ASX on Monday.

Primero has recently carried out early-stage works on Tawana Resources’ Bald hill lithium mine in Western Australia, a project that moved from maiden resource to concentrate production in nine months.

Its expertise was also sought by Northern Minerals, when it contracted Primero to construct the hydromet pilot plant (pictured, in construction) and heavy rare earth mine at the Browns Range project in the Tanami region of both Western Australia and Northern Territory.

Currently capitalised at just over A$59 million, the company carries out engineering consulting for feasibility studies and project development, detailed design, project management and construction, project operations, maintenance, enhancement and support, and project retirement.

It sees the battery materials sector, in particular, as one potential growth opportunity.

“Primero is well placed to capitalise on future battery materials work in Australia and overseas given its specialist expertise and credentials,” the company said.

In addition to working with Tawana and Northern Minerals in this space, the company has also been contracted by Pilbara Minerals (Pilgangoora lithium project) and Galaxy Resources (Mt Cattlin lithium project).

“The company believes that development projects within this sector will form a key part of its future
project pipeline,” Primero said.