Mackay-based G&S Engineering has won a $9.5 million contract on the Caval Ridge Southern Circuit project in the Bowen Basin.
The contract covers works to connect the new 11km overland conveyor that will link BHP Billiton Mitsubishi Alliance’s (BMA) Peak Downs mine with the coal handling preparation plant at Caval Ridge mine.
BMA asset president Rag Udd said the contract announcements associated with the Caval Ridge Southern Circuit project underlined the critical role the resources industry played in generating employment and business opportunities in Queensland.
“This continues on from the $2.5 billion spent by the broader resources industry last financial year on goods and services and community contributions in the greater Mackay region,” Mr Udd said.
“The progression of this important project for our business means we can continue to safely and productively produce our high quality metallurgical coal for steelmaking around the world.”
G&S chief executive officer Mick Crowe said the project was a great opportunity to deliver a homegrown solution, bringing together the company’s local knowledge of the Caval and Peak Downs sites along with its high -uality infrastructure and construction experience in the Bowen Basin.
CIMIC Group’s construction company CPB Contractors has been awarded the $38 million contract to construct the conveyor.
The project is scheduled to be finished in September 2018.
Once completed, the conveyor system will transport additional coal mined at Peak Downs to Caval Ridge, where the CHPP currently has up to four million tonnes per year of latent capacity.