UGL secures $600m worth of contracts in WA energy & lithium sectors

CIMIC Group member UGL has announced that it has secured several work contracts with a combined value of about $600 million in the energy and minerals processing sector in Western Australia. 

A $330 million contract was awarded to UGL for construction services at Albemarle’s Kemerton Lithium Hydroxide Processing Plant near Bunbury. Under this contract, UGL will undertake structural, mechanical, piping, electrical and instrumentation works as well as associated procurement and fabrication of piping and other items. 

This major contract award is part of the Kemerton Expansion Project that will see the construction of processing trains 3 and 4 to double the plant’s capacity, producing up to 100,000 metric tonnes of battery grade lithium hydroxide a year. 

The award of this major contract to UGL coincides with Albemarle’s intensive three-month recruitment drive in support of the company’s major Kemerton contractors. 

“We are Australia’s largest producer and manufacturer of lithium and our Kemerton plant is about to get a whole lot bigger. We know that construction of trains 3 and 4 will create over 1,000 new jobs across all of our major contractors and UGL is a major employer among several companies that are already recruiting in earnest. 

“Kemerton expansion is a boon for jobs across construction, engineering, support services and more and we are supporting our contractors with this recruitment drive because their ability to employ skilled workers is critical to delivering the project safely and on schedule,” Albemarle VP, Capital Projects Australia Josh Rowan said. 

The Kemerton contract is expected to generate up to 400 jobs with UGL. 

UGL has also secured four contracts with a total value of about $300 million. The contracts include: 

• Provision of electrical, instrumentation, mechanical and access services for aluminum producer Alcoa’s bauxite and alumina WA operations 
• Provision of brownfields implementation services for a leading energy provider through a joint venture contract which includes planning and execution of mechanical, electrical, instrumentation, access, insulation, coatings and fire protection 
• Front-line and campaign maintenance, brownfield execution scopes and turnaround events at energy company Chevron Australia-operated facilities 
• Asset preservation services at a leading energy provider’s facilities, through IAS Group – UGL’s wholly owned specialist provider of asset life extension and critical repair solutions in the resources, infrastructure and industrial sectors 

“We are proud to grow our presence in Western Australia and to play a part in expanding high tech infrastructure and lithium refining in Australia, by contributing to the construction of one of the world’s largest lithium production facilities. This important compound is used for the electrification of transport, which is aligned with our focus on sustainable mobility,” CIMIC Group Executive Chairman Juan Santamaria said. 

“UGL has a strong history of working with the world’s largest energy companies to provide expertise and local capability, particularly in Western Australia. We’re pleased to support Albemarle’s expansion plans at the Kemerton Lithium Hydroxide Plant. We also provide critical services to the traditional energy sector, supporting the continuity of energy supply and major investment and innovation in the world’s energy transition,” UGL Managing Director Doug Moss said. 

Source: UGL; Albemarle; Roads & Infrastructure Australia