The first sod has been turned and works are now underway on Fortescue Metals Group’s (FMG) $1.7 billion Eliwana iron ore mine and rail development located 90 kilometres west-north-west of Tom Price.
“This is a proud day for Fortescue as we celebrate the largest project since the Kings Valley mine in 2014.
“As always, we are committed to ensuring communities benefit from our growth and development and Eliwana continues our significant contribution to the great state of Western Australia,” FMG Founder and Chairman Andrew Forrest said.
This massive mine development is expected to support up to 1,900 jobs during the construction phase and about 500 full-time operational positions.
The Eliwana project will comprise of a 143-kilometre rail that will link the mine to FMG’s existing railway and Solomon operation as well as a 30Mtpa dry ore processing facility and infrastructure.
To date, FMG has awarded contracts with a total value of approximately $330 million to more than 250 Australian businesses, with 80 per cent towards Western Australian owned businesses. The company is expecting to award more than $500 million in additional contracts by the end of 2019 as further approvals are progressed.
In addition, fabrication of structural steel for the overland conveyor, stockyard and train loadout facility, and for rail bridge girders will be conducted within the State and, in the coming months, more steel fabrication work is anticipated to be awarded locally as well.
“The Eliwana mine and rail project will deliver a significant boost to WA’s economy, with around 2,400 jobs in total created for WA workers.
“It’s great to see a strong local content component, with many Western Australian companies awarded contracts to carry out important works, including steel fabrication,” Premier Mark McGowan said.
Earlier this year, a number of major contracts have also been awarded which includes a $57 million contract awarded to NRW Holdings; a $24 million contract awarded to BGC Contracting; and a $10 million contract awarded to SIMPEC.
Key environmental approvals are currently being progressed for the mine site and for the second stage of the railway.
The first ore from Eliwana is expected in late 2020.
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Source: Government of Western Australia; Fortescue Metals Group (1, 2); Australian Mining