McMahon Services (MCM) and Clough Projects have jointly reached an agreement to provide engineering, procurement and construction (EPC) services to TNG for its Mount Peake vanadium-titanium-iron project situated in the Northern Territory, Australia.
The construction companies are set to form a joint venture (JV) named the McMahon Services Clough JV in order to review Mount Peake’s updated Definitive Feasibility Study (DFS) as part of the initiative.
The JV will also evaluate the project’s preliminary construction management and procurement contracting services in collaboration with TNG’s engineering partner, SMS Group.
TNG managing director Paul Burton said: “We already have a strong and long-standing relationship with our German-based strategic engineering partner, SMS group, and this is agreement with Clough and McMahon is designed to build on and enhance that relationship.
“Having two of Australia’s leading contracting groups as part of our construction consortium is a real positive for the Mount Peake project.”
The agreement is expected to strengthen the relationship between the parties and eventually enable TNG to make a final decision regarding its construction plans for the development.
Burton also noted that the arrangement will pave the way for an expansive EPC approach to the project’s financing and construction.
The approach is expected to result in the creation of a new structure that would potentially include the two engineering groups within the final EPC team.
Clough Projects CEO and managing director Peter Bennett said: “We’re embracing our status as preferred team and local delivery partner for the construction and installation of the process plant, along with EPC work for the project’s balance of plant systems and non-process infrastructure.”
In addition, the JV is also slated to assist TNG in obtaining financial investment for the project.