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Australia : ENGENCO bags $4 MILLION contract for ROY HILL project third time
175 words
16 April 2014
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Engenco declared that it has been awarded a contract worth $4 million for supplying rail workers and train
drivers for the Roy Hill iron ore project in the Pilbara. The company has inked a deal with Leighton
subsidiary John Holland, as subcontractor to Samsung C & T, for specialist railroad labour through
Engenco's Perth-based Momentum business. It is expected that the work on the contract will be
commenced in May with completion in 12-18 months. The contract is a significant win for Engenco,
demonstrating the company's considerable expertise in the rail industry, said Engenco managing director
Ross Dunning, Our Momentum business has been able to capitalise on our existing relationships at the
Roy Hill project and provide a tailored solution to meet John Holland's needs. He added, This contract
provides us with significant opportunities to increase our services to John Holland Group and Roy Hill,
and we look forward to helping to develop this large iron ore project.
Roy Hill chooses Aconex software
Fraser Beattie
225 words
16 April 2014
Business News
WABN
English
© Copyright 2014 Business News Pty Ltd.
Roy Hill Holdings has selected construction project management software firm Aconex to provide its
services to the company's iron ore mining project in the Pilbara.
Aconex provides software that allows project teams to manage and respond to contractual
communications, share and update documents and drawings, and execute project-defined workflows for
process control and document reviews and approvals.
Aconex general manager, Australia and New Zealand, Steven Brant said the mine was a complex project
with a wide range of stakeholders and multiple assets to be built.
"The Aconex platform will enable the company to control business documentation for improved efficiency
and accuracy while managing risk and regulatory compliance," he said.
"We look forward to helping the entire project team follow best practices in collaborative information
management so that the mine and its supporting operations start production on schedule."
Roy Hill and the majority of its contractors are using software Aconex provided as a single source of
project information management and collaboration.
The software will assist Roy Hill in both the construction and operation phases of the project.
The Aconex software is currently being used by 23 different organisations involved in the project, and this
number is likely to grow as additional operational contracts are engaged.
The first shipment of iron ore is scheduled for export in 2015.
NRW Holdings Secures Roy Hill Package One Works Contract
107 words
17 April 2014
Australian Company News Bites
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AUSTRALIAN COMPANY NEWS BITES
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NRW Holdings announced that it has been awarded a contract by Samsung C & T Corporation for
construction of the Package One Works at Roy Hill. The proposed scope of works includes Concrete and
detailed Earthworks for the Processing Plant, Stockyard, Overland Conveyors and Crushing areas. The
works have a scheduled duration of 12 months with manning on site estimated to peak at 660 personnel.
The contract has an approximate value of $200m. <pdflink name="Please click here for full details'
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Source: Morningstar
Provide of Grade Control Drilling for Roy Hill iron ore project
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4 April 2014
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Contract Awarded to Provide of Grade Control Drilling for Roy Hill iron ore project in the Pilbara. Two
Reverse Circulation rigs from the eight rig fleet, will be utilised for the first two years, adding another in the
third year of the contract. Ranger Drilling maintains consistent growth in all divisions of the business
including Grade Control, RC Exploration, Water Monitoring and Diamond Drilling despite the tightening in
the market. Contract Value: 18 million Contract Period: three years with a two-year option. Contract
Award Date: Oct 2013 Contractor name : RANGER DRILLING Contractor address : 9B Berriman Dr,
Wangara WA 6065, Australia country :Australia
Engineering Procurement & Construction (EPC) of Roy Hill Iron Ore Project
172 words
4 April 2014
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Contract Awarded for Engineering Procurement & Construction (EPC) of design and construction of the
Port Marine Works in of Roy Hill Iron Ore Project. The marine portion of the project is located in Port
Hedland, where the company has already constructed a number of similar facilities. The Roy Hill marine
project consists of a two berth iron ore load out wharf in SW Creek, connected with an approximately
3600m long elevated overland conveyor to the ore stockyard. Besides the wharf and the overland
conveyor the scope of work includes an abutment, a drive station, three transfer stations and all SMPE&I
(structural, mechanical, piping, electrical & instrumentation). Site work is due to commence later this year
with an overall completion date of mid 2015. Contract Value: $455 million.
Contract Award Date: Oct 2013 Contractor name : MCCONNELL DOWEL Contractor address : PO Box
6065, Hawthorn West Victoria 3122, Australia Agency : Samsung C&T Seoul, South Korea
www.samsungcnt.com country :Australia
Construction of the rail bridges for the Roy Hill Iron Ore Project.
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4 April 2014
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Contract Awarded for Construction of the rail bridges for the Roy Hill Iron Ore Project. Centrals is a
leading provider of civil and remedial construction contracting services to the mining & resources, energy,
infrastructure, marine, manufacturing, industrial and commercial sectors. Centrals The subcontract,
valued in excess of S100M, is for the construction of eleven bridges along the proposed 340km rail line
from the Roy Hill Mine to their port and stockyard facilities near Port Hedland. This includes eight bridges
over waterways, two bridges of existing rail lines and one bridge over an existing haul road. The contract
is scheduled to commence in October 2013 and complete in December 2014 and will employ more than
160 personnel at its peak. Centrals plan to self-execute the majority of works but are pleased to be
working again with their long term indigenous contracting partner, Pilbara Logistics, who will be providing
a number of support services to the project.
Contract Value: $100 Million Contract Period: October 2013 and complete in December 2014 Contract
Award Date: Oct 2013 Contractor name : SAMSUNG C&T Contractor address : Seoul, South Korea
Agency : Centrals Australia country :Korea, Republic of
ROY HILL POWER CONSTRUCTION CONTRACT TO UGL
296 words
1 April 2014
Mining Business Media
MIBMED
English
Copyright 2014. Mining Business Media Pty Ltd. All Rights Reserved
Perth, Apr 1
The engineering arm of Australian international diversified services group UGL has won the $A136M
contract to design, procure and construct the high voltage power system to service Hancock
Prospecting’s Roy Hill iron ore mine in the Pilbara region of Western Australia.
The contract was awarded by Alinta Energy under its long-term agreement to supply all the electrical
power requirements of Roy Hill Iron Ore Mines.
UGL will be responsible for the concept development, design, construction, testing and commissioning of
the 120km of 220kV single circuit transmission line from Newman to the mine, substations and 6MW
reciprocating diesel engine power station at the mine.
MD-CEO Richard Leupen said the project reflected UGL’s reputation as a leading power systems
contractor and developer of high-voltage power infrastructure.
“Across the infrastructure sector, we are encouraged by improving levels of activity with strong growth in
UGL’s tendering pipeline, particularly in power, transport systems and rail infrastructure projects,” he
said.
Early works have begun with completion expected in March 2015.
UGL Limited
Exchange Code:ASX:UGL Website:http://www.ugllimited.com
International company based in Sydney, Australia, UGL is a diversified services group operating in the
sectors of construction, engineering, facilities management and corporate real estate
Hancock Prospecting Pty Ltd
Website:http://www.hancockprospecting.com.au
Private company of Australian magnate Gina Rinehart, with major iron ore and coal operations in Western
Australia and Queensland
Roy Hill Holdings Pty Ltd
Website:http://www.royhill.com.au
The company is focused developing the Roy Hill Project, a world-class iron ore deposit in the Pilbara
region of Western Australia. Australian mining magnate Gina Rinehart's private company, Hancock
Prospecting, is the majority owner of Roy Hill Holdings
Report: Emergency response firm ERS wins A$30M contract at Hancock's Roy Hill iron ore project
Francis Jonathan Roy
125 words
27 March 2014
SNL Metals & Mining Daily: West Edition
SNLMMDW
Issue: 79844
English
Copyright 2014. SNL Financial LC
Perth, Australia-based Executive Risk Solutions has secured a two-year, A$30 million contract to provide
emergency response services at the Roy Hill iron ore project in Western Australia's Pilbara region, The
West Australian reported March 25.
Under the terms, ERS will provide up to 65 personnel equipped with 20 specialist vehicles, including rapid
intervention vehicles and fire trucks.
"This will make it one of the largest single emergency response contracts in Australia," ERS Managing
Director Scott Houston reportedly said.
The Roy Hill project is 70% owned by Hancock Prospecting Group, with Marubeni Corp., POSCO and
China Steel Australia Ltd. holding the rest.
Marubeni Corporation - Signing of Project Finance Agreements for the Roy Hill Iron Ore Project in
Australia
332 words
26 March 2014
ENP Newswire
ENPNEW
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(c) 2014, Electronic News Publishing. All Rights Reserved.
Release date - 24032014
We are pleased to announce that Roy Hill Holdings Pty Ltd, an Australian company jointly owned by
Marubeni Corporation, Hancock Prospecting Pty Ltd, POSCO and China Steel Corporation, with
Marubeni holding a 15% stake, signed a US$7.2 billion project finance contract for the development of the
Roy Hill Iron Ore Mine in Australia on March 20, 2014.
This project finance contract has been signed with a consortium of export credit agencies (Japan Bank of
International Cooperation, Nippon Export and Investment Insurance, Export-Import Bank of Korea, Korea
Trade Insurance Corporation, and the Export-Import Bank of the United States) and international
commercial banks. RHH completed the arrangement of the financing for the full amount of the
development cost of the Project by signing this contract. Marubeni believes that this has achieved one of
the most important milestones toward the completion of the Project.
RHH has been carrying forward the development of the Project through capital contributed by the
shareholders. In March 2013, it appointed Samsung C&T Corporation as the EPC contractor and has now
entered the full-scale development stage after having completed the engineering and procurement stage.
This project finance facility will be used to fund the remaining development cost including the cost for
mine, processing plant, rail and port facility development.
The Project is developing a world class, low cost, fully integrated open pit mine, accompanied by rail and
port facilities and will deliver 55Mtpa of high quality iron ore lumps and fines to the global seaborne iron
ore market. The expected high grade iron ore products from this mine are much anticipated from steel
mills including those in Japan. Marubeni will continue to support RHH for its stable iron ore supply.
Contact:
IWASIMA Hirokazu General Manager Media Relation Tel: (03) 3282 - 4803
[Editorial queries for this story should be sent to [email protected]]
Brookfield Multiplex Commences Work on NPI Facility at Roy Hill
605 words
18 March 2014
ENP Newswire
ENPNEW
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(c) 2014, Electronic News Publishing. All Rights Reserved.
Release date - 13032014
Brookfield Multiplex has works well underway on a $73 million Non Processing Infrastructure facility at the
Roy Hill mine, works commenced at the completion of its $200 million accommodation village late last year.
The NPI contract includes the design and construction of a heavy and light vehicle workshop, wash down
facilities, a boilermaker workshop, tyre change area, lube farm, services including power water and waste
water treatment and associated infrastructure and distribution, administration buildings including Go-Line
facilities and a gatehouse.
The group's specialist Engineering and Infrastructure (E+I) division is expected to undertake work in three
stages, with the handover of Go-Line administrative buildings by the 2nd quarter this year, followed by the
gatehouse midyear and all other mine services buildings staged and complete by early 2015.
The NPI precinct is located within the total mine footprint and within 10 km from the mine process plant
and within proximity to the 2,000 dwelling accommodation village, ensuring ease of accessibility for
workers
The facility is being built to service a fleet of up to approximately 142 pieces of equipment vehicles, and
will house approximately 250 staff.
Brookfield Multiplex WA Regional Managing Director Chris Palandri said the NPI precinct was the 'engine
room' of the mine, providing essential facilities and services for a smooth operation.
'The NPI is a critical component of the Roy Hill project. Because the mine is situated in such a remote
region - about 100km from the nearest town - it's imperative that provisions for the maintenance of
vehicles and the administration and care of staff is readily available on site,' he said.
'The fleet service and repair facilities will ensure efficient transport of product and personnel across the
mine, while the administration buildings will include training rooms, medical services and storage, to
assist staff to safely complete their work.
'This is the second E+I contract for the Roy Hill project for Brookfield Multiplex, following the completion
late last year of the mine accommodation village. We aim to exceed expectations and to ensure that the
NPI facility will mirror the success of that project, which was delivered on time, on budget and of excellent
standard.
'We have a track record in delivering highly complex and technical projects such as energy plants and are
able to transfer this knowledge to non-process infrastructure projects', said Mr Palandri. The
accommodation village is now home to more than 1000 staff, as work continues to ramp up on a variety
of mine related assets and services. 'Roy Hill is focused to export its first ore in September 2015, so it's all
hands on deck from our team to complete all of our contracted work by early next year in preparation for
that milestone,' he said.
'The feedback about the accommodation village has been excellent - the workers are saying that the
rooms are comfortable, private and appropriate for the climate, and they are making the most of the top-
class recreational facilities - including pools, a gymnasium and BBQ areas.
Over 50 years Brookfield Multiplex has completed more than 810 projects across the globe worth about
$54 billion.
The Brookfield Multiplexcontracting business currently has a $9.4 billion global workbook across 50
projects spanning a variety of sectors including mining, rail, water, residential, tourism and leisure, health,
retail, commercial and education.
Contact:
Brookfield Multiplex L22, 135 King St Sydney, NSW 2000 Australia Tel: +61 2 9322 2000 Fax: +61 2
9322 2001
[Editorial queries for this story should be sent to [email protected]]
Laing O’Rourke appointed to Roy Hill
244 words
6 March 2014
ENP Newswire
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(c) 2014, Electronic News Publishing. All Rights Reserved.
Release date - 05032014
Laing O’Rourke will go to work on the largest single-pit mining operation in Australia.
Roy Hill is a $10 billion iron ore project, 70 percent owned by Gina Rinehart’s Hancock Prospecting,
which will stretch 34 kilometres long and 17 kilometres wide in Western Australia’s Pilbara region.
Laing O’Rourke has just been awarded Package 3 by Roy Hill’s EPC contractorSamsung C&T - a
contract involving the construction of structural steel and associated mechanical, piping, electrical and
instrumentation works for the massive mine.
It also incorporates building the ore stockyard facilities to support the intermodal and export operations,
comprising car dumpers, interconnection conveyors and transfer stations.
In a separate announcement, Laing O’Rourke has been awarded a third package of works by Rio Tinto at
its Cape Lambert Port B iron ore operations - also in the Pilbara.
Roy Hill and Cape Lambert in the mining and materials sector, alongside the oil and gas sector works at
Chevron’s Gorgon and Wheatstone projects, are among some of the key major infrastructure works Laing
O’Rourke’s Australia Hub will deliver in Western Australia throughout 2014.
Contact:
Laing O’Rourke Bridge Place 1 & 2 Anchor Boulevard Crossways Dartford Kent DA2 6SN United
Kingdom Tel: +44 (0)1322 296200 Fax: +44 (0)1322 296262
[Editorial queries for this story should be sent to [email protected]]
Australia : BGC gets A$60M contract to supply ROY HILLS' railway ballast
188 words
27 February 2014
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BGC Contracting has received a contract worth a A$60 million to supply Roy Hill s railway ballast. The
contract signed with John Holland involves delivery of more than one million tonnes of ballast from its
Elazac quarry near Port Hedland. According BGC CEO Greg Heylen, the company s successful delivery
of ballast to the adjacent Fortescue Metals Group and BHP Billiton rail lines for past many years had
served as an important factor in gaining this deal. He adds, This contract is the third award BGC has
received for Roy Hill, and we are delighted to extend our participation in a project of this scale and
significance. Pleasingly, we continue to build the strength of our order book, underpinning our long-term
financial stability. The company in the month of September received a $420 million contract for
completing the civil earthworks, concrete works, and general infrastructure for the port component of Roy
Hill.
Earlier in April 2012 it had won a contract worth a $120 million to build the mine s internal roads and
aerodrome.
RPT-Samsung annuls contract with Spain's Duro Felguera, Forge
139 words
24 February 2014
06:55
Reuters News
LBA
English
(c) 2014 Reuters Limited
(Repeats story published on Saturday; no change to text)
MADRID, Feb 21 (Reuters) - South Korea's Samsung C&T Corp has annulled a mining contract with a
consortium that includes Spain's Duro Felguera and Australia's Forge Construction.
Duro Felguera said on Friday in a statement to the market regulator that Samsung had cancelled the
A$1.47-billion ($1.32 billion) Roy Hill Iron Ore Project in Australia and it was looking at the economic
consequences of the termination.
The Spanish company, which has near to 43 percent of the contract, said it was in talks with Samsung
over continuing the project.
($1 = 1.1159 Australian dollars) (Reporting by Robert Hetz, Writing by Paul Day, editing by David Evans)
Released: 2014-2-23T21:55:01.000Z
Supply Gina Rinehart s Roy Hill iron ore mine s fleet management system
116 words
1 February 2014
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Contract Awarded for Supply Gina Rinehart s Roy Hill iron ore mine s fleet management system It will
install 34 Wenco units across Roy Hill s shovel, truck, and dozer fleet, with additional units likely to be
installed as the mine s production increases. It comes as Wenco partners with Hitachi to develop a joint
proof of concept project to test the efficiency of mining fleet management systems on the cloud
Contractor name : WENCO INTERNATIONAL MINING SYSTEMS Contractor address : 10271
Shellbridge Way, Richmond, BC V6X 2W8, Canada Agency : Owner : Gina Rinehart PO Box Locked Bag
No.42 WELSHPOOL DC WA 6986 country :Canada
ACTION CLINCHES BIG ROY HILL CONTRACT
148 words
10 December 2013
Mining Business Media
MIBMED
English
Copyright 2013. Mining Business Media Pty Ltd. All Rights Reserved
Action Drill & Blast has won the biggest civil drill and blast contract awarded in Australia this year -- a 6-
month contract covering over 170km of rail cuttings for the giant Roy Hill (iron ore) Rail Earthworks
Project in Western Australia.The contract, from mining and civil contractor NRW, is also the company's
biggest civil contract since its establishment in 2010.A 65-strong team, operating 6 drill rigs and
associated equipment, will drill and blast about 3Mbcm of rock for the rail track being built from the mine
site N of Newman to Port Hedland. ADB expects to mobilise to site this month.The contract rounds up a
successful year for the company, which has also clinched significant contracts at Fortescue Metals
Group's Cloudbreak iron ore mine in WA and the Middlemount coal mine in Queensland's Bowen Basin.
Decmil Group awarded $37.5m Roy Hill contract
285 words
29 November 2013
Resources News (RWE)
RESNEW
English
Copyright 2013 RWE Australian Business News Pty Ltd. All Rights Reserved.
Sydney - Friday - November 29 (RWE) - Decmil Group Limited (ASX: DCG) has been awarded a contract
from the Roy Hill Iron Ore Project for the design and construction of diesel fuel infrastructure including a
rail fuel yard, mine fuel yard, go- line fuel facility, mine services fuel and rail wet commissioning.
The $37.5 million project in the Pilbara has been awarded to Decmil Group's wholly-owned subsidiary
Decmil Australia.
The win demonstrates the Group's design, civil engineering and construction expertise and broadens the
range of services Decmil is providing at Roy Hill.
In April 2013, the company was awarded two contracts totalling more than $71 million to design and
construct rail and port facilities at Roy Hill, along with associated infrastructure.
Decmil Australia is preparing to mobilise and commence work on site in March 2014, with an anticipated
completion of the diesel fuel infrastructure project by March 2015.
Decmil CEO Scott Criddle said: "Market conditions within the mining and oil & gas sectors remain
challenging so we are thrilled to be involved in this project.
"The award of this contract strengthens our position and further demonstrates our expertise within the iron
ore sector".
About Decmil Group LimitedDecmil Group Limited (DGL) offers a diversified range of services to the
Australian resources and infrastructure industries.
Companies within the Decmil Group specialise in design, civil engineering and construction;
accommodation services; manufacturing; and maintenance.
Listed on the Australian Securities Exchange (/4SX Code: DCG), DGL's goal is to maximise returns from
our operations to deliver value to our shareholders, clients and other stakeholders.
In April 2012 the company was admitted to the S&P/ASX 200 Index.
(AEDCG) Decmil Group awarded $37.5m Roy Hill contract
287 words
29 November 2013
Ralph Wragg Australian Business News
AAPRAW
English
Copyright 2013 RWE AUSTRALIAN BUSINESS NEWS PTY LTD. All Rights Reserved.
Sydney - Friday - November 29 (RWE) - Decmil Group Limited (ASX: DCG) has been awarded a contract
from the Roy Hill Iron Ore Project for the design and construction of diesel fuel infrastructure including a
rail fuel yard, mine fuel yard, go- line fuel facility, mine services fuel and rail wet commissioning.
The $37.5 million project in the Pilbara has been awarded to Decmil Group's wholly-owned subsidiary
Decmil Australia.
The win demonstrates the Group's design, civil engineering and construction expertise and broadens the
range of services Decmil is providing at Roy Hill.
In April 2013, the company was awarded two contracts totalling more than $71 million to design and
construct rail and port facilities at Roy Hill, along with associated infrastructure.
Decmil Australia is preparing to mobilise and commence work on site in March 2014, with an anticipated
completion of the diesel fuel infrastructure project by March 2015.
Decmil CEO Scott Criddle said: "Market conditions within the mining and oil & gas sectors remain
challenging so we are thrilled to be involved in this project.
"The award of this contract strengthens our position and further demonstrates our expertise within the iron
ore sector".
About Decmil Group LimitedDecmil Group Limited (DGL) offers a diversified range of services to the
Australian resources and infrastructure industries.
Companies within the Decmil Group specialise in design, civil engineering and construction;
accommodation services; manufacturing; and maintenance.
Listed on the Australian Securities Exchange (/4SX Code: DCG), DGL's goal is to maximise returns from
our operations to deliver value to our shareholders, clients and other stakeholders.
In April 2012 the company was admitted to the S&P/ASX 200 Index.
rx
Report: Roy Hill iron ore project starts giving out contracts
Luis Nonito Pasuelo
198 words
20 November 2013
SNL Metals & Mining Daily: East Edition
SNLMMDE
Issue: 78088
English
Copyright 2013. SNL Financial LC
Hancock Prospecting Group's Roy Hill iron ore project in Western Australia has started giving out
contracts worth A$3 billion, just a few weeks before the A$10 billion project is expected to get approval for
the debt funding to build the mine, The Australian reported Nov. 19.
In a statement to the Australian Securities Exchange, engineering firm Downer EDI said it received a 4.5-
year mining services contract at Roy Hill worth A$500 million, according to the report.
The latest contract came after Hancock Prospecting secured preliminary approval for US$694 million in
financing from the U.S. Export-Import Bank to buy mining equipment.
The project's main contractor, Samsung C&T, also recently handed out contracts worth A$2.37 billion.
To build the iron ore mine, Hancock Prospecting needs about A$7 billion in debt funding, which the
company is attempting to secure from banks and export credit agencies by the end of November.
However, some analysts think it unlikely that the Roy Hill project will meet its financing approval and
construction schedule, according to The Australian.
Document SNLMMDE020131125e9bk00011
Australia : $3bn worth of CONTRACTS awarded by Gina Rinehart s Roy Hill iron ore PROJECT
434 words
20 November 2013
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Gina Rinehart s Roy Hill iron ore project has declared $3 billion worth of contracts for the development of
the mine. The contract has been awarded as the company moves closer to securing the $7 billion needed
to secure its future. Gina Rinehart s $10 billion Roy Hill iron ore development carried out one of the
largest debt-raisings ever attempted in the mining sector, seeking $4 billion in funding from export credit
agencies and an additional $3 billion from commercial banks.
The Roy Hill project comprises a new 55 million tonne per annum iron ore mine, 344 kilometres of railway
and a new port at Port Hedland. Roy Hill is pushing to conclude financing before the year is out and the
production will start in September 2015.
The biggest contract was declared with Downer EDI winning a 4 year contract for mining services worth
$500 million. This is seen as a clear sign the project is set to receive the go ahead. Other contracts
handed out comprise a $620 million rail earthworks contract to NRW, $830 million to Forge Group for
construction and processing works and $70 billion to Brookfield Multiplex to develop non-processing
infrastructure.
The latest deal comes just days after reports that the US government owned Export-Import Bank gave
preliminary approval for $US694m ($737m) in financing for the project. The bank s loan will support the
purchase of equipment from US companies.
Roy Hill has also required support from the big four Australian banks and foreign investors. Roy Hill
Holdings is 70 per cent-owned by Rinehart's Hancock Prospecting. Selling off 30 per cent of the project last
year, the remainder is now held by South Korea's Posco, Japan's Marubeni and Taiwan's China Steel
Corporation. The Roy Hill project comprises a new 55 million tonne per annum iron ore mine, 344
kilometres of railway and a new port at Port Hedland.
Construction of the Pilbara-based project is continuing, in spite of chatter around delays, with some
analysts predicting full production will not start until 2017. Still, the miner has continued to reaffirm that the
project remains on track.
"Roy Hill's project development has not been delayed, we remain fully on track," a company spokesman
said.
With cash costs of about $US37 per tonne, JPMorgan expects Roy Hill will sit in the middle of the cost
curve for iron ore projects. The analyst said Roy Hill has the potential to add 7 per cent to Australian iron
ore supply.
Finance
Roy Hill hands out $3bn in contracts
ANDREW BURRELL, MINING
370 words
19 November 2013
The Australian
AUSTLN
1 - All-round Country
18
English
© 2013 News Limited. All rights reserved.
GINA Rinehart's Roy Hill iron ore project has handed out contracts worth almost $3 billion -- including a
$500 million deal yesterday with engineering firm Downer EDI -- as financiers edge closer to approving a
debt package that will allow the mine to be built.
As anticipation builds that the $10bn project will finally receive the green light within weeks, Downer EDI
told the Australian Securities Exchange it had been awarded a 4 1/2-year contract for mining services at
Roy Hill, in Western Australia's Pilbara region.
The company said early works would start within months before moving to full-scale mining in the second
half of 2014.
The project will use a fleet of 18 haul trucks and two excavators, and employ more than 200 people. The
main contractor on the project, Samsung C&T, also recently handed out contracts worth about $2.4bn to
NRW Holdings, Forge Group and John Holland.
The latest contract came days after the US government-owned Export-Import Bank reportedly gave
preliminary approval for $US694m ($737m) in financing for the project, which is attempting to attract up to
$7bn in debt by the end of next month.
The US Export-Import Bank's loan is designed to support the purchase of mining equipment from
American companies, including Caterpillar.
Other agencies that may be involved in the financing are Japan's Nippon Export and Investment
Insurance, the Japan Bank for International Co-operation, the Export-Import Bank of Korea and the Korea
Trade Insurance Corporation.
Roy Hill has also sought support from the big four Australian banks and overseas institutions.
But some analysts doubt that Roy Hill Holdings, which is 70 per cent-owned by Mrs Rinehart's Hancock
Prospecting, will meet its schedule for financing approval and construction. JPMorgan said in September
that first production was not likely to occur until mid-2016 -- later than Roy Hill's estimate of September
2015 -- and the mine would not reach full production until late 2017.
The project involves a new mine capable of producing 55 million tonnes per annum of iron ore, a 344km
railway and a new port at Port Hedland.
Australia : DOWNER secures Roy Hill contract worth $500 MILLION
205 words
18 November 2013
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Downer EDI Ltd declared that it has won a contract to offer early mining services at the Roy Hill open cut
iron ore mine in the Pilbara.
As per the 4.5-year contract, the company will execute pre-strip and supplementary mining activity over
the initial years, whereas Roy Hill will be predominantly undertaking mining on an owner-operator basis.
Downer informed that it will also offer drill and blast as well as load and haul of overburden and ore. The
project will use a fleet of 18 haul trucks and two excavators, and employ more than 200 people.
It is anticipated that the contract with a total estimated value $500 million will be carried out by the end of
November.
The company stated that, The contract is expected to commence with infrastructure construction early in
the 2014 calendar year before proceeding to full-scale mining in the second half of the year. The services
to be provided include drill and blast and load and haul of overburden and ore.
The capital required for the project will be approximately $110 million - $40 million for new equipment and
$70 million provided from existing equipment, said Downer.
Roy Hill Iron Ore Project
John Holland wins Railway Contract
165 words
15 November 2013
Bulk Solids Handling
BUSOH
006-2013
English
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Perth (WA), Australia – John Holland has been chosen to construct nearly 350 km of heavy haulage
railway track for the Roy Hill Iron Ore Project in Western Australia. The Roy Hill Iron Ore Project includes
a new mine at the Roy Hill deposit north of Newman, a mine process plant, a heavy haul railway system
and new port facilities at Port Hedland. The approx. AUD 257 million rail construction, track works and
infrastructure sub-contract awarded to John Holland by Samsung C&T will traverse through remote terrain
from the Roy Hill mine site to Port Hedland. The two year, construct only project, commenced on site in
October 2013. John Holland’s contract involves track works to the main line, marshalling yard, mine loading
loop, port loading loop, wayside loops and spurs and construction yard.
The 350 km railway track will connect the Roy Hill mine site with Port Hedland
Picture: © hdsidesign - Fotolia.com
Contract Awarded for Roy Hill Project.
203 words
30 October 2013
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Contract Awarded for Roy Hill Project.
The Roy Hill mine is located approximately 277 kilometres due south of Port Hedland and is at the
eastern end of the Chichester Range in the Pilbara region of Western Australia. The mine, rail and port
facilities will be designed to produce 55 million tonnes per annum (mtpa) of Hematite direct ship ore.
BGC Contracting has been awarded the Roy Hill Iron Ore Project Package 3, which includes the civil
earthworks, concrete works and general infrastructure for the port component of the project located in
Port Hedland.
This two-year construction project is set to begin next month and reach a peak workforce of 500 people,
which will effectively push BGC Contracting s overall workforce numbers towards the 3000 mark for the
first time in their history.
Contract Value: $420 million
Contract Period: two-year
Contractor name : JV OF BGC CONTRACTING AND SAMSUNGC&T
Contractor address : ABN 88 008 766 407
290 Bushmead Road,
Hazelmere
Western Australia, 6055
Tel: +61 8 9442 2300
Facsimile: +61 8 9442 2360
www.bgc.cc
Agency : 2nd Contractor:
Samsung C&T Corporation
Seoul,
South Korea
www.samsungcnt.com
country :Australia
Australia-Port Hedland Roy Hill Port Marine Work
159 words
8 October 2013
Mena Report
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© 2013 Al Bawaba (Albawaba.com). Provided by Syndigate.info, an Albawaba.com Company
Project End: 2015
Project Location: Port Hedland, Western Australia, Australia
Project Status: Active Project
Phase: Awarded Project Cost
: US$455 million Facility
Type: EPC Contract
Scope : Engineering, procurement and construction contract from Samsung C&T for the Roy Hill Port
marine work in Western Australia.
Description :
Australian engineering company McConnell Dowell has won a US$455 million engineering, procurement
and construction contract from Samsung C&T for the Roy Hill Port marine work in Western Australia.
The marine portion of the project is located in Port Hedland. The project consists of a two berth iron ore
load-out wharf in SW Creek, connected with a 3,600-meter-long elevated overland conveyor to the ore
stockyard. The contract also includes an abutment, a drive station and three transfer stations.
Site work will begin later this year and the project will be completed in mid-2015.
country :Korea, Republic of
Central Systems win $100m Roy Hill works
Michael Ramsey
279 words
4 October 2013
WA Business News
WABN
English
© Copyright 2013 Business News Pty Ltd.
Civil construction company Central Systems has been awarded its largest ever contract in the form of a
$100 million subcontract for the construction of rail bridges at the Roy Hill iron ore project.
Centrals will build eleven bridges along the proposed 340 kilometre rail line from the Roy Hill mine to port
and stockyard facilities near Port Hedland.
The contract is scheduled to commence this month and be completed by December 2014.
Centrals plan to handle the majority of the works but long-term indigenous contracting partner Pilbara
Logistics will provide a number of support services to the project.
"The Centrals team has worked hard over the last 3-4 years to grow and transform the company into a
major civil construction and remedial services contractor," Centrals director Richard Eden said.
"In our view, this contract award is a significant endorsement of our capabilities and capacity to execute
larger-scale construction projects for our clients."
Central was awarded the subcontract by South Korean giant Samsung C&T, the lead contractor for
Hancock Prospecting's $10 billion Roy Hill project.
It comes in the wake of a month in which several WA-based mining services companies were awarded
big contracts for the mine.
BGC Contracting announced late last month that it had been awarded a $420 million package of works
including civil earthworks, concrete works and general infrastructure for the port component of the project.
A joint venture led by Forge Group won a $1.47 billion construction contract, while NRW Holdings signed
a $620 million deal.
Alinta Energy was also granted regulatory approval to supply electricity to the project.
NRW Holdings Secures $620m Roy Hill Rail Earthworks Contract
130 words
19 September 2013
Australian Company News Bites
NBAXCN
English
Copyright 2013 News Bites Pty Ltd. All Rights Reserved.
AUSTRALIAN COMPANY NEWS BITES
SOURCED FROM INFORMATION LODGED WITH THE AUSTRALIAN STOCK EXCHANGE
NRW Holdings announced that it has signed a contract with Samsung C & T Corporation for construction
of the rail formation for the main line between the Roy Hill Mine site and Port Hedland. The contract has
an approximate value of $620m. The scope of works include construction of approximately 330km of
main line heavy haul rail formation together with sidings and level crossing and associated works. Overall
the works will involve the moving of 10.5 million sqm of material. Preliminary construction will commence
in September 2013 and the scheduled completion date is January 2015. <pdflink name="Please click
here for full details" page="1"/>
Source: Morningstar
Australia : John Holland awarded $257 million sub-contract at Roy Hill
304 words
18 September 2013
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John Holland has been chosen to construct nearly 350km of heavy haulage railway track for the Roy Hill
Iron Ore Project in Western Australia.
The Roy Hill Iron Ore Project includes a new mine at the Roy Hill deposit north of Newman, a mine
process plant, a heavy haul railway system and new port facilities at Port Hedland. The $257m rail
construction, track works and infrastructure sub-contract awarded to John Holland by Samsung C&T will
traverse through remote terrain from the Roy Hill mine site to Port Hedland.
Leighton Holdings Chief Executive Officer, Hamish Tyrwhitt, said the contract award evidences the
diversity of the Leighton Group, combining our skills in managing operations in remote locations and in
the provision of infrastructure and rail operations.
We are proud to be involved in such a major undertaking for Western Australia. Roy Hill is a critical project
for the state, and a strong indication that the nation is moving to close its infrastructure deficit and improve
productivity, he said.
John Holland Group Managing Director, Glenn Palin, said that by winning this project against national and
international competition, John Holland had once again demonstrated its key strength in rail.
John Holland has been a market leader in rail construction in Australia for over 30 years, with
approximately $3b of rail-related projects in hand, he said.
The two year, construct only project, is planned to commence on site in October 2013. At the peak of site
works the project workforce is expected to reach 270 people. John Holland s contract involves track
works to the main line, marshalling yard, mine loading loop, port loading loop, wayside loops and spurs
and construction yard. The contract also involves construction of a logistics yard and ballast yards.
Australia : LEIGHTON subsidiary secures $257 MILLION rail work contract for ROY HILL
138 words
17 September 2013
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John Holland Group, a subsidiary of Leighton Holdings Ltd declared that it has secured rail construction
work worth $257 million for Gina Rinehart's Roy Hill iron ore project in Western Australia's Pilbara region.
The company stated at the Australian Securities Exchange that the heavy haulage track work for
Samsung C&T would link the Roy Hill mine site to Port Hedland.
The work is expected to complete in around two years after starting next month.
Leighton Holdings chief executive officer Hamish Tyrwhitt said, We are proud to be involved in such a
major undertaking for Western Australia. Roy Hill is a critical project for the state, and a strong indication
that the nation is moving to close its infrastructure deficit and improve productivity.
Contract Awarded Engineering, Procurement and Construction (EPC) Contractor for the Overall Project
48 words
10 September 2013
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Contract Awarded Engineering, Procurement and Construction (EPC) Contractor for the Roy Hill Iron Ore
Project
Contractor name : SAMSUNG C&T CORPORATION
Contractor address : Samsung C&T Corporation
Seoul,
South Korea
country :Korea, Republic of
NRW GAINS $20M ROY HILL PROJECT WORKS
82 words
30 August 2013
Mining Business Media
MIBMED
English
Copyright 2013. Mining Business Media Pty Ltd. All Rights Reserved
NRW has received a new $A20M order for subcontract works on the rail earthworks for the $US9.5B Roy
Hill iron ore project in Western Australia's Pilbara region.The resources and infrastructure company says
it's commencing works on the project ahead of the formal award of the contract by Hancock Prospecting's
EPC contractorSamsung C&T.The $23M detailed design contract for the railway was awarded this week
to Calibre Group.
Contract Awarded rail and port construction.
91 words
29 August 2013
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Contract Awarded rail and port construction .
Decmil will design and construct rail and port facilities along with associated infrastructure to service the
project in Western Australia s Pilbara region.
Contract Value : $71m
The design phase for the project has started, with onsite delivery subject to Roy Hill Infrastructure
obtaining financing.
The project was on track to be ready by September 2015.
Contractor name : DECMIL GROUP LIMITED
Contractor address : 20 Parkland Road,
Osborne Park,
Western Australia 6017
PO Box 1233,
Osborne Park WA 6916
country :Australia
Roy Hill Project
Calibre wins Contract for Design of Roy Hill Main Line Railway
244 words
29 August 2013
Bulk Solids Handling Online
BUSOHW
English
Copyright 2013. Vogel Business Media GmbH & Co. KG
Calibre Group's (ASX:CGH) engineering and project delivery business, Calibre Global, has been awarded
an USD 23 million contract by Samsung C&T Corp for the detailed design for approximately 330 km of
heavy haul main-line railway, passing loops and other associated civil infrastructure, for the Roy Hill
Holdings Project (Roy Hill) in Western Australia.
Perth (WA), Australia – The design work has commenced and is not subject to Roy Hill Project debt
financing. Work on the detailed design is expected to be completed by the end of Q2 FY2014. The project
will involve up to 60 personnel at its peak.
Ray Horsburgh, Calibre Group’s Acting Managing Director and Chairman welcomed the award. “The
Award follows the earlier signing of a MOU with Samsung and we believe it positions the company well
for further potential work with Samsung on Roy Hill. We also look forward to exploring potential
opportunities to work with Samsung on projects in other geographies”.
Roy Hill is a major new Pilbara iron ore project planned to include a 55 mtpa mine, heavy-haul railway,
and new berths at Port Hedland. Samsung C&T is the EPC provider for the project.
Calibre Global has been awarded a contract for the detailed design for approx. 330 km of heavy haul
main-line railway for the Roy Hill Project in Western Australia.
Picture: Wikimedia Commons
CALIBRE NAMED FOR ROY HILL RAILWAY DESIGN
125 words
28 August 2013
Mining Business Media
MIBMED
English
Copyright 2013. Mining Business Media Pty Ltd. All Rights Reserved
Roy Hill iron ore project EPC contractor Samsung C&T has awarded a $A23M detailed design contract to
Calibre Group for its heavy haul railway.Calibre Global, the group's engineering and project delivery
business, has begun design work for the 330km of mainline railway, passing loops and civil infrastructure
at Hancock Prospecting's 55Mtpa Pilbara development.The design work, which is not subject to project
debt financing, is due for completion by the end of Q2 FY2014.The project will involve up to 60 personnel
at its peak.Acting MD Ray Horsburgh said the contract, following the earlier signing of a memorandum of
understanding with Samsung, positions Calibre for further work with Samsung on Roy Hill.
NRW to commence full works at Roy Hill
Dan Wilkie
159 words
6 August 2013
WA Business News
WABN
English
© Copyright 2013 Business News Pty Ltd.
NRW Holdings has been given the green light by Gina Rinehart's Roy Hill Holdings to commence the full
work program under a $67 million contract first announced in April.
The Perth-based contracting group said preliminary works at the Roy Hill iron ore mine were at an
advanced stage.
The full works package comprises earthworks, piping and other associated works, as well as drill and
blast operations.
NRW said the contract would have a six-month duration with a peak workforce of 260.
First ore from the Roy Hill project is expected to be produced in the third quarter of 2015.
The commencement of the full package of works would seem to suggest a comprehensive financing deal
for the Roy Hill mine could not be far away.
National air carrier Qantas was signed by Roy Hill to provide charter air services for the $10 billion project
last month.
Australia : Qantas to help Pilbara mine find its footing
313 words
25 July 2013
Mena Report
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One of the largest iron ore mining projects in Australia is currently in its construction phase, bucking the
trend of an apparent decline in new excavation projects in the country. What's more, this emerging mine
recently closed a deal with Qantas, which will spur construction activity in the Pilbara region and
potentially raise demand for modular homes in the area.
The contract stipulates that Qantas will be the only airline Roy Hill Iron Ore will use to charter materials
and workers in from other regions. The first flight between Perth and the mining site will take place on
August 13, and is expected to create a significantly more streamlined approach to building the $10 billion
mine. By signing the deal, Qantas is now involved in what could potentially be one of the biggest mining
sites in the country.
To maintain a stable schedule and flow of workers and machinery, Qantas will start flying between Perth
and a small air strip in the Pilbara region three times a week. However, as construction takes off, the
chartered airliner will increase the frequency of these flights to accommodate.
"The Roy Hill contract is the latest win for Qantas and an important milestone in our push to further
develop regional and charter services across Australia," said Lyell Strambi, Qantas Domestic Chief
Executive Officer. "The agreement demonstrates Qantas strength in the fly-in, fly-out business and
affirms our strategy of investing and expanding our charter operations through Network Aviation."
To reach its goal of creating an integrated mining, rail and port system in the Pilbara region, Roy Hill could
benefit from modular building construction techniques that enable workers to spend long periods in
remote areas like North West Australia. With Qantas now supplying ample human resources, it will be
crucial for the company to provide proper accommodation.
Finance
Qantas lands Roy Hill contract - EXCLUSIVE -
STEVE CREEDY, AVIATION WRITER
735 words
24 July 2013
The Australian
AUSTLN
1 - All-round Country
19
English
© 2013 News Limited. All rights reserved.
IN a further sign that Gina Rinehart's $9.5 billion Roy Hill iron ore project is coming to life, Qantas has
signed a three-year air services agreement with the company and will start charter operations to the
Pilbara mine site from August 13.
The contract is a coup for Qantas fly-in, fly-out offshoot Network Aviation, which will initially fly to the site
three times a week using its 100-seat Fokker F100s.
While it would not disclose the value of the deal, the airline expects services to expand as demand for
workers increases at the project to a predicted peak of about 3600 workers. Roy Hill's sealed 2.5km
Ginbata air strip, certified by the Civil Aviation Safety Authority at the end of May, is capable of taking
planes as big as Boeing 737-800s.
Network, which was acquired by Qantas in 2010 to help expand the group's foothold in the resources
sector, is in competition with Virgin Australia regional operations. Those operations expanded this year
with Virgin's takeover of Perth-based Skywest Airlines. The Qantas unit has been expanding its fleet of
F100s and expects to take its 12th twin-jet next month. It also has seven 30-seat Embraer 120 Brasilia
turboprop aircraft.
Despite the slowdown in the resources sector, Qantas has remained upbeat about its growth prospects in
Western Australia and operates more than 280 return flights with 75,000 seats within the state each
week.
Qantas expects to grow its intra-WA business this year by 22 per cent, largely because of resources
contracts such as the deals it has with the likes of BHP Billiton, Bristow and Fortescue Metals Group.
It has been boosting its east-west services and in May announced that it would build a new Qantas Club
in Perth airport's terminal three as part of a multi-million-dollar investment that will bring spending on its
facilities at the rapidly growing airport to $100m over the past four years.
Qantas Domestic chief executive Lyell Strambi said the Roy Hill contract was the latest win for Qantas
and a milestone in the airline's push to develop regional and charter services across Australia.
``The agreement demonstrates Qantas's strength in the fly-in, fly-out business and affirms our strategy of
investing and expanding our charter operations through Network Aviation,'' he said.
The vast Roy Hill project, 70 per cent-owned by Mrs Rinehart's Hancock Prospecting, moved a step
closer recently after Japan's Marubeni boosted its stake to 15 per cent and crucial talks with potential
lenders reportedly overcame a key hurdle.
A spokesman for the miner told The Australian last week that the company was cautiously optimistic
about approving the project by December.
The project involves a new mine capable of producing 55 million tonnes of iron ore a year, a 344km
railway and a new port at Port Hedland.
In addition to the airport and terminal buildings, key internal mine roads have been built and a permanent
village capable of accommodating 2000 workers is under construction and expected to be completed by
October.
Roy Hill general manager external affairs Darryl Hockey said Qantas was chosen for the contract
because of its proven record in safety and reliability.
Mr Hockey said the initial flights would take workers involved in preliminary works such as earthworks for
the ore processing plant. ``Then we move into what we call foundation works but we don't actually start
construction proper until we've got our debt finance in place,'' he said.
About 8500 positions are expected to be available over the project construction period between next year
and the end of 2015, and Mr Hockey said the Qantas deal would ensure the right people were available
``at the right place at the right time''.
``Once production begins in 2015, safe and dependable air services will be critical to the ongoing
efficiency and productivity of the Roy Hill operations,'' he said.
Aviation demand in Western Australia has been burgeoning. Ginbata is one of six airports that have been
built or where construction has started within the past 18 months to service the resources sector. Most
are in the Pilbara and three -- Roy Hill, Christmas Creek and Solomon -- are capable of taking 737-800s.
Features
New Roy Hill mine villages to house 4600
SARAH DANCKERT
465 words
6 June 2013
The Australian
AUSTLN
1 - All-round Country
26
English
© 2013 News Limited. All rights reserved.
PREPARATIONS for Gina Rinehart's Hancock Prospecting to build residential villages servicing the
company's Roy Hill iron ore mine in Western Australia are gathering momentum.
Roy Hill chief executive officer Darryl Hockey said the company was preparing to accommodate 4600
people in villages at South Hedland and in three locations on the railway line that will connect the mine to
the port.
Brookfield has won the contract to build housing for 2000 people at Roy Hill, as first reported by The
Australian last year. The contract for the South Hedland village, which will be home to 1200 workers, has
been awarded to Compass.
Samsung is understood to be tendering for local groups to build the three railway developments, which
will each be home to 400 people.
Mr Hockey said the additional villages would provide premium accommodation for workers at Roy Hill
and, as with the village at the mine site, provide services including sporting and entertainment facilities.
``We prefer to use the word village because we like to think that what we're building is much better than
mining camps at other mines,'' Mr Hockey said.
He said that like the Brookfield-built camp at the mine site, which is about one-third finished, the South
Hedland and railway sites will have facilities like indoor cinemas, swimming pools and dining rooms.
``If we want to attract the best people to our mine then we need to have the best village. It's hot and dusty
work and people need a place to unwind,'' he said.
The company also has residences for 260 people in exploration camps.
Meanwhile, Mirvac and joint venture partner Land Corp will embark on $1.5 billion Pilbara housing project
after winning state government approval.
Experts say demand for housing is still strong despite the fall in mining capital expenditure projections.
Samsung has picked up the $5.9bn contract to build a processing plant as well as rail, port and other
infrastructure at Roy Hill.
It is understood that the housing contract is in addition to its existing contract with Hancock Prospecting.
Sources said local builders were keenly awaiting the outcome of the tendering process.
According to the Australian Bureau of Statistics, mining industry capital expenditure is expected to top out
at $156bn for the 2013-14 financial year, a considerable decrease on the earlier estimate of $260bn.
Urban Development Institute of Australia (WA) chief executive Debra Goostrey said there had been no
winding down in the Pilbara by the UDIA's members. ``Some of the heat has gone out of the market, but
that's not a bad thing. We were in a situation where growth in land and house prices and growth in rents
had reached unsustainable levels.''
Contract Volume Won by KOSPI Companies Rises 29.7%
187 words
4 June 2013
The Korea Economic Daily
ECODEN
English
Copyright 2013. Hankyung.com
The amount of contracts won by companies listed on the Korea Exchange has increased by a large
margin. The Korea Exchange said on June 3 the sum of contracts, including in the areas of construction,
system, and manufacturing, won by KOSPI companies for the past five months was 33,266.1 billion, up
29.68 percent from the same period last year.
By industrial sector, construction topped the list with 15,825.8 billion won (up 67.74% from the same
period in 2012), followed by others (manufacturing and system) with 7,567.3 billion won (up 39.47%). As
for shipbuilding, however, the contract volume shrank to 9,873.0 billion won, down 8.52 percent from
10,792.6 billion won a year ago.
Samsung C&T won the single largest contract from the Roy Hill iron mining project in Australia with
6,411.4 billion won. It was followed by Daewoo Shipbuilding & Marine Engineering for building four
container ships with 4,175.0 billion won.
Brookfield Multiplex signs $70m Roy Hill contract
Dan Wilkie
319 words
23 April 2013
WA Business News
WABN
English
© Copyright 2013 Business News Pty Ltd.
Preparations for Gina Rinehart's Roy Hill iron ore project in the PIlbara are picking up pace, with
Brookfield Multiplex adding a $70 million deal to its $190 million worth of building works at the mine.
Brookfield today announced that its engineering and infrastructure division had won a $70 million
contract, covering design and construction of non-processing infrastructure to service the Roy Hill mine.
The facilities include a boilermaker workshop, washdown and tyre-change facilities, administration
buildings and gatehouse.
Detailed project design of these facilities is expected to commence immediately and be completed by
December 2014. Actual construction is dependent on Roy Hill securing final debt funding for the $10
billion project.
The new contract is in addition to the $190 million, 2000-bed workers' village Brookfield is currently
constructing at Roy Hill.
The first stage of permanent dwellings for the village is now being built, with work soon to start on
recreational facilities, including tennis courts and a gymnasium.
The contract is the latest in a series of large construction and engineering deals awarded in the past few
weeks at the Roy Hill mine.
Late last week contractorNRW Holdings won a $67 million contract at Roy Hill, for earthworks, piping, and
drill and blast operations.
Engineering and construction group Decmil was also awarded a $71 million contract, to build port and rail
facilities for the mine.
Like the Brookfield contract, these are also dependent on Roy Hill finalising its funding.
Parsons Brinckerhoff was signed as a project management consultant in early March, while global
construction group Samsung C&T was appointed engineering contractor in a $US5.8 billion deal, subject
to formal financing arrangements for the Roy Hill mine.
A financing package is expected to be announced in coming weeks.
First ore from Roy Hill is expected to be produced in the third quarter of 2015.
Project Management
Roy Hill Project
120 words
18 April 2013
Bulk Solids Handling
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Copyright 2013. Vogel Business Media GmbH & Co. KG
New York (NY), USA – Parsons Brinckerhoff has signed an initial contract as the project management
consultant for Roy Hill Project, a 55 million tonne per year iron ore pit-to-port project in Western
Australia’s Pilbara region. The USD 10 billion project is an iron ore deposit with a defined mineralisation
of more than 2.4 billion tonnes of iron ore, sufficient to sustain a mine life of more than 20 years. A new
214-mile heavy haul railway will be constructed to link the mine and port, with new ore-handling facilities,
an ore stockyard, and two berths developed at Port Hedland. First shipment of ore for export is scheduled
for September 2015.
Australia : NRW HOLDINGS bags A$67 MILLION contract for Roy Hill iron-ore mine
147 words
20 April 2013
Mena Report
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NRW Holdings declared that it has secured a contract worth A$67-million to carry out earthworks, piping
and associated works, as well as drill and blast operations at the Roy Hill iron-ore mine, in Western
Australia.
According to NRW, the works will run through alteast seven months and would peak at a workforce of
160.
It is estimated that the Roy Hill operation will generate upto 55-million tons a year, and would include a
344 km heavy-haul railway and new berths at Port Hedland.
The project is set to commence production in 2015.
Recently, a contract worth A$71-million was awarded to the Decmil Group for the design and construction
of rail and port facilities for the Roy Hill project, along with associated infrastructure to service the port.
Progress at Roy Hill as contractor costs ease in W Australia
260 words
19 April 2013
Steel Business Briefing
STSCNW
English
© 2013 McGraw-Hill, Inc.
Hancock Prospecting subsidiary Roy Hill Holdings has awarded another engineering contract for work on
its proposed Pilbara iron ore mine. Meanwhile, other miners say cancelled projects have taken some of
the heat out of construction costs in Western Australia.
Perth-based NRW Holdings said Thursday it had won a A$67 million (US$69 million) contract to carry out
earthworks, piping and associated works at the planned 55 million mt/year capacity iron ore project. This
follows the awarding of two contracts last week worth more than A$71 million (US$73 million) to
engineering and construction company Decmil Group for infrastructure-related work at Roy Hill.
Both NRW and Decmil said the contracts depended on Hancock securing the finance to build the project,
which is expected to produce its first ore in 2015. The Roy Hill project requires a 344 km railway and
other capital costs that are expected to amount to around $7 billion.
Announcing their March quarter iron ore production this week, both Atlas Iron and Fortescue Metals
Group noted that the slowdown and in some cases cancellation of projects in Australia was forcing
contractors to lower their costs. Woodside Petroleum last week scrapped a $45 billion liquefied natural
gas project in Western Australia, while work on other projects such as Aquila Resources/AMCI's West
Pilbara iron ore project has almost stopped.
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© Steel Business Briefing 2013
Australia : DECMIL GROUP receives $71m rail & port contract from ROY HILL
117 words
13 April 2013
Mena Report
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Decmil Group has received rail and port construction contracts worth $71 million from Gina Rinehart's
Roy Hill iron ore project.
As per the deal, Decmil will have to design and develop rail and port facilities together with related
infrastructure for supporting the project in Western Australia's Pilbara region.
Followed by the completion of its port, rail and mine infrastructure project, Roy Hill plans to ship 55 million
tonnes of iron ore a year.
Chief executive Barry Fitzgerald stated that the project was likely to be ready by September 2015.
Next year, work is expected to begin on both the port and rail projects.
Samsung C&T wins $5.8bn construction contract at Roy Hill project
By Nina Nasman
305 words
5 April 2013
Metal Bulletin
METBUL
English
© 2013 Metal Bulletin Limited. All Rights Reserved.
South Korean engineering and construction group Samsung C&T has been awarded a 6.48 trillion Won
($5.8 billion) contract for plant and infrastructure construction at the Roy Hill iron ore project in Western
Australia.
Samsung C&T has signed the notice of award issued by Roy Hill Holdings, which is developing the iron
ore project, the group said on Thursday March 28.
“[The] project will include engineering, procurement and construction of iron ore mine process plants at
the Roy Hill deposit, a heavy-haul railway system from mine to port, and new port facilities,” Samsung
C&T said.
The 344km railway line will link Roy Hill to a new iron ore terminal at Port Hedland.
The construction period will start on April 2 this year and end on November 15, 2015. More details will be
disclosed when the main contract is signed on April 30, Samsung C&T said.
Iron ore company Hancock Prospecting, which owns 70% of Roy Hill, expects to have a total of A$7
billion ($7.3 billion) of debt funding secured for the project by the end of 2013.
Japanese trading house Marubeni, which holds a 12.5% equity interest in the project, secured a A$1.063
billion ($1.11 billion) loan from Japan Bank for International Co-operation to develop Roy Hill, it said on
March 28.
Taiwan Steel, South Korean steel producer Posco and shipping company STX hold the remaining shares
in the project, which has also attracted two Chinese offtake customers, Yaxin Steel and Shougang Steel.
Roy Hill is expected to start production in 2015 and have a maximum output of 55 million tpy.
Nina Nasman
Twitter: @NNasman_SF
Samsung C&T wins $5.8bn construction contract at Roy Hill project
By Nina Nasman
323 words
29 March 2013
01:50
Metal Bulletin News Alert Service
METBNA
English
© 2013 Metal Bulletin Limited. All Rights Reserved.
South Korean engineering and construction group Samsung C&T has been awarded a 6.48 trillion Won
($5.8 billion) contract for plant and infrastructure construction at the Roy Hill iron ore project in Western
Australia. Samsung C&T has signed the notice of award issued by Roy Hill Holdings, which is developing
the iron ore project, the group said on Thursday March 28. "[The] project will include engineering,
procurement and construction of iron ore mine process plants at the Roy Hill deposit, a heavy-haul
railway system from mine to port, and new port facilities," Samsung C&T said. The 344km railway line will
link Roy Hill to a new iron ore terminal at Port Hedland. The construction period will start on April 2 this
year and end on November 15, 2015. More details will be disclosed when the main contract is signed on
April 30, Samsung C&T said.
Iron ore company Hancock Prospecting, which owns 70% of Roy Hill, expects to have a total of A$7 billion
($7.3 billion) of debt funding secured for the project by the end of 2013. Japanese trading house Marubeni,
which holds a 12.5% equity interest in the project, secured a A$1.063 billion ($1.11 billion) loan from Japan
Bank for International Co-operation to develop Roy Hill, it said on March 28. Taiwan Steel, South Korean
steel producer Posco and shipping company STX hold the remaining shares in the project, which has also
attracted two Chinese offtake customers, Yaxin Steel and Shougang Steel. Roy Hill is expected to start
production in 2015 and have a maximum output of 55 million tpy. Nina Nasman <a
href="mailto:[email protected]">[email protected]</a> Twitter: <a
href="www.twitter.com/NNasman_SF" target="_blank">@NNasman_SF</a>
UPDATE 2-Samsung C&T picked as preferred bidder for Roy Hill deal -sources
408 words
20 March 2013
15:14
Reuters News
LBA
English
(c) 2013 Reuters Limited
(Adds comment from Roy Hill chief executive)
SEOUL, March 20 (Reuters) - South Korea's Samsung C&T Corp
has been picked as the preferred bidder for a multi-billion dollar development deal for Australia's Roy Hill
iron ore project, two sources with knowledge of the matter told Reuters.
Roy Hill Holdings, controlled by Australian billionaire Gina Rinehart, plans a 55 million tonnes a year iron
ore mine in the Pilbara region of Western Australia, but has still to finalise $7 billion in debt funding for the
project to go ahead.
"Samsung C&T and POSCO Engineering & Construction submitted bids, but only Samsung C&T was
chosen as a preferred bidder," one of the sources said, speaking on condition of anonymity because of
the confidentiality of the process.
The other source confirmed this, adding: "It remains to be seen whether Samsung C&T will sign a main
deal."
The $10 billion Roy Hill project involves building a mine, railway and port.
Roy Hill Chief Executive Barry Fitzgerald declined to comment directly when asked by Reuters if
Samsung C&T was the winner, saying the decision would be announced next week.
Roy Hill has been pushing back the timeline on securing funding and starting construction. Roy Hill had
been hoping to finalise debt funding by mid-2013, but now says it could be as late as the end of 2013.
Rinehart's Hancock Prospecting owns about 70 per cent of Roy Hill Holdings, with the remainder owned
by a consortium led by South Korean steel giant POSCO and including Japanese trading company
Marubeni, South Korea's STX Corp , and Taiwan's China Steel Corp.
POSCO Engineering & Construction is a unit of steelmaker POSCO.
Roy Hill has been seeking a fixed construction contract in order to shield Hancock and its partners from
any cost overruns during the construction phase.
Budget blowouts have become commonplace in Australia, which is regarded as one of the most
expensive places to develop new mines.
Costs at the nearby Sino Iron project, owned by CITIC Pacific Ltd, have ballooned four-fold to $8 billion
during the construction phase.
(Reporting by Hyunjoo Jin; Additional reporting by James Regan in PERTH; Editing by Daniel Magnowski
and Richard Pullin)
AUSTRALIA-ROYHILL/ (UPDATE 2) | AUF | ABN | D | E | RBN | Z | ABX | RNP | DNP | PCO
Parsons Brinckerhoff joins Roy Hill as consultant
Dan Wilkie
330 words
5 March 2013
WA Business News
WABN
English
© Copyright 2013 Business News Pty Ltd.
Engineering group Parsons Brinckerhoff has signed on as a project management consultant at Gina
Rinehart's $10 billion Roy Hill iron ore development in the Pilbara.
The group said today that its role under the contract would be to manage contracts for Hancock
Prospecting throughout the project's execution phase, beginning this year before reaching completion in
2015.
Hancock is currently undergoing due diligence with international financiers to secure a debt facility for the
mine, which is expected to be sorted mid-way through the year.
Parsons Brinckerhoff global mining managing director Mark Dimmock said the team would be led by
senior directors with strong technical capabilities.
"This project spearheads the development of a new generation of integrated iron ore mining, rail and port
operations," Mr Dimmock said in a statement.
"This requires a team with an embedded depth of knowledge across the development lifecycle. Their
knowledge and experience means we have the ability to counter project challenges as they arise with
effective design and implementation solutions."
Hancock's joint venture partners in the Roy Hill mine; Japan's Marubeni, South Korea's Posco, plus STX
Corp, and China Steel Corp.
POSCO and Marubeni each have 12.5 per cent while STX and China Steel hold 2.5 per cent. POSCO
and STX had originally taken a small stake in the project in 2010.
First ore from the Roy Hill project is expected to be produced in the third quarter of 2015, delayed from
initial plans for late 2014.
Early works at the Roy Hill mine that are completed or well advance include port dredging, internal miner roads,
four 300-bed rail construction villages, a 1,200-bed permanent village in Port Hedland and a $50 million corporate
headquarters and remote operations centre in Perth.
A 344-kilometre railway will link the mine to port, while new ore handilng facilities, a stockyard and two berths
will be developed at Port Hedland.
Media contact: Celina Watt Manager, Corporate Affairs & Communications +61 8 6242 1090 | [email protected]