- ASX 200 lister Monadelphous shared news of a $400 million contract between Mondium and Rio Tinto
- Monadelphous holds a 60 per cent interest in Mondium, a specialist in engineering, procurement and construction for Australia’s resource sector
- Under the contract, Mondium will design and construct a mine for Rio
- The Western Turner Syncline Phase 2 mine is located in W.A.’s Pilbara region and within Rio’s Tom Price operation
- Monadelphous’ share price is up 0.23 per cent, with shares trading for $17.24 each
ASX 200 lister Monadelphous (MND) has seen its share price rise after sharing news of Mondium’s $400 million contracts with Rio Tinto. Monadelphous is Mondium’s primary shareholder, with a 60 per cent interest.
Rio Tinto has recruited Mondium to design and construct the Western Turner Syncline Phase 2 mine, in W.A.’s Pilbara region. This new development comes as part of the mining giant’s $1 billion investment into operations at Tom Price.
Mondium will be responsible for all engineering, design, procurement and construction which includes a process plant, overland conveyor and non-process infrastructure.
In today’s release to the Australian market, Monadelphous detailed it invested into Mondium after recognising the “synergistic benefits they could bring by providing an end to end EPC [engineering, procurement, construction] delivery business for the resources sector in Australia.”
Work on the Western Turner Syncline Phase 2 mine is expected to begin in the first quarter this year, with a predicted completion date in 2021. The project will bring local employment and business opportunities to the region.
Managing Director of Mondium Andrew Carnie explained the contract with Rio Tinto is a significant step for the company’s growth.
“We are thrilled to be making great strides in our growth strategy and to have secured a significant contract with Rio Tinto,” Andrew said.
Monadelphous’ Managing Director, Rob Velletri commented on Mondium’s contract.
According to Rob, “the award illustrates the strong progress Mondium has made in cementing itself as a preferred and trusted provider of EPC services. I would like to congratulate all involved in this historic win.”
At market close on Monday, Monadelphous’ share price is up 0.23 per cent, with shares trading for $17.24 each.