Rio Tinto is the latest top tier resources company to award a $4.5 million contract to SIMPEC, the construction contracting business wholy-owned by ASX-listed WestStar Industrial (ASX:WSI).
SIMPEC has been awarded a contract to design and construct a Remote Draft Survey System, at Rio’s Cape Lambert port facility, located 40km north of the Pilbara town of Karratha.
The work will improve ship turnaround and safety rates at the port. Combined, the two terminals at Cape Lambert are currently capable of shipping more than 185Mt/a of iron ore.
WestStar has said the work at Cape Lambert is set to begin almost immediately, with the contract due to commence this month.
The Remote Draft Survey System is set to reach completion in Q2 2019.
Commenting on the contract win directly from the iron ore major, SIMPEC managing director Mark Dimasi said:
This award is testament to the SIMPEC team’s hard work over the past six-months during the project tender phase.”
The company continues to sign a string of projects with large-scale resource companies. SIMPEC is already involved with Rio Tinto’s East Angelas projects, through an award from its the head contractor.
This month the business signed its largest contract in its history – an $8 million piece of work at the Tianqi Lithium Kwinana LHPP1 process plant, which is anticipated to grow into one of the world’s largest lithium hydroxide refineries.
“To deliver an order book of $30 million only halfway through the year is a tremendous result for SIMPEC and the whole WestStar Group,” WestStar Industrial director Philip Re said.
“SIMPEC is building great momentum and traction in the market and we look forward to the award of further contracts,” he said.
For the past year, SIMPEC has tendered for more than $150 million of work.
