Civmec has been awarded a major construction contract in the resources sector, as well as several infrastructure and maintenance projects, raising its order book to more than A$1.15 billion.
The major construction contract is for the Mount Holland Lithium Project in Western Australia, being undertaken by subsidiaries of Wesfarmers and Sociedad Química y Minera de Chile S.A. through their 50:50 joint venture manager, Covalent Lithium Pty Ltd.
The Mount Holland mine site will produce lithium concentrate, which will be transported to a refinery that Civmec has been tasked to construct. The refinery, to be located at Kwinana in Western Australia and within ten kilometres of Civmec’s flagship heavy engineering facilities in Henderson, will convert the lithium concentrate into high-purity lithium hydroxide monohydrate. The scope of work to be undertaken covers most disciplines, including structural and piping fabrication, SMP erection, refractory lining, insulation and E&I installation works.
The works are expected to commence in 2022, with completion anticipated in 2024.
Civmec has also been awarded an infrastructure contract to build a bridge as part of Transport for NSW (TfNSW) $2.6 billion Sydney Gateway Road Project. The project, once complete, will provide high-capacity connection from St Peters interchange to Sydney Airport and toward the M5 and Eastern Distributor, and is set to open to traffic at the end of 2024. The works will be carried out at Civmec’s Newcastle facility in New South Wales.
In the maintenance space, Civmec has secured contracts on both the west and east coast of Australia, including a contract award for maintenance services for Glencore’s Murrin Murrin operations, and additional maintenance and shutdown works for long-term client Roy Hill. It also recently completed work for a nickel producer in the Goldfields of Western Australia.
Civmec's Chief Executive Officer Pat Tallon commented, “Demand for heavy engineering and construction services in the private and public sectors in Australia remains strong and these new contracts underscore, yet again, our strength as a top-tier contractor. Our efforts to generate more recurring income are also paying off as we are getting more work involving maintenance and capital works from both existing and new clients.”
Image Source: Covalent Lithium Pty Ltd