Join our daily newsletter At The Bell to receive exclusive market insights
- Decmil Group (DCG) has secured a $30 million contract from Rio Tinto to design and construct facilities at the Mesa J iron ore mine in WA
- This contract will see Decmil design and construct a site letdown area, a heavy vehicle (HV) wash facility, a mobile equipment maintenance workshop, and HV and light vehicle (LV) tyre change facilities
- This new contract adds onto the already exisiting $8.7 million contract that Decmil was awarded in mid-October for the Mesa A mine
- The Mesa J contract is expected to be completed by the end of 2021
- Decmil has ended the day 3.08 per cent in the green with shares trading for 6.7 cents each
Decmil Group (DCG) has secured a $30 million contract from Rio Tinto to design and construct facilities at the Mesa J iron ore mine.
The Mesa J mine lies in the Pilbara region of Western Australia, 16 kilometres southwest of Pannawoncia.
It is part of the Robe Valley hub which is owned by the Robe River joint venture (JV). Rio owns 53 per cent of the JV and is the operator of the two iron ore mines there, Mesa A and Mesa J.
Under this contract Decmil will design and construct a site letdown area, a heavy vehicle (HV) wash facility, a bulk lube storage facility, a mobile equipment maintenance workshop, and HV and light vehicle (LV) tyre change facilities.
This new contract adds onto the already exisiting $8.7 million contract that Decmil was awarded in mid-October.
This contract will see Decmil design and construct a laboratory facility at the Mesa A mine.
“We have now won two contracts with Rio Tinto in the space of a month, and in September we secured a $41 million contract at the Iron Bridge magnetite project,” CEO Dickie Dique said.
“This validates our enhanced strategic focus on utilising our core capabilities to target a significant tender pipeline with blue chip customers in the resources sector,” he added.
The Mesa J contract is expected to be completed by the end of 2021.
Decmil has ended the day 3.08 per cent in the green with shares trading for 6.7 cents each in a $77.24 million market cap.
