Leighton Holdings subsidiary Thiess has received a $100m contract from Fortescue Metals Group for phase one development works at the Solomon Hub iron ore mine in the Pilbara region, Western Australia.

Under the 18-month contract, Thiess will carry out initial pioneering and mine establishment works such as haul roads, stockpile pads and the mining of early ore and waste.

The Solomon Hub mine is expected to boost its overall annual production to excess of 155 million tons over the coming years.

The mine is set to commence iron ore production in 2012.

Thiess’s Australian mining business executive general manager Michael Wright said that the firm was currently mobilising people and equipment to Solomon and commencing preliminary works on-site.