Engineering company Monadelphous Group has secured a $108m contract at BHP’s $3.6bn South Flank iron ore project in Western Australia’s Pilbara region.
Under the terms of the construction contract, Monadelphous will offer support to South Flank’s outflow infrastructure by providing works related to structural, mechanical, piping and electrical and instrumentation.
Set to begin immediately, the work is expected to be completed by May 2021.
Monadelphous Group managing director Rob Velletri said that the contract award demonstrated the strength of the company’s relationship with BHP.
“BHP has been one of our core customers, for both construction and maintenance projects, for more than 20 years. We are looking forward to partnering with them on this strategically important project, and continuing to build on our proven construction capability within the iron ore sector in the Pilbara.”
“Monadelphous continues to provide a broad range of community support initiatives throughout the Pilbara, including offering local employment and supply opportunities.”
The contract is expected to provide employment opportunities for about 400 people.
Last year, Monadelphous secured a contract valued at $240m to provide maintenance services for BHP’s Whaleback, Jimblebar, Easter Ridge, Mining Area C and Yandi sites.
In July last year, BHP started construction on the $3.61bn South Flank iron ore project after securing the state government approval.
South Flank is located near BHP’s Mining Area C operations and will replace production from the 80Mtpa Yandi mine, which will reach the end of its mine life by the mid-2020s.