Western Australia's Roy Hill Iron Ore Project Awards Multiple Infrastructure Contracts

Researched by Industrial Info Resources (Perth, Australia)--Infrastructure is needed to support Roy Hill Holdings Limited's (West Perth, Western Australia) Roy Hill Iron Ore Project, including rail, port and accommodations. Given the sheer size of the project, it is no surprise that the total investment value of the associated infrastructure is estimated to be $4.55 billion (AUD$5 billion). The Roy Hill project is about 62 miles (100 kilometers) north of Newman, Western Australia.

The Roy Hill rail project involves constructing 344 kilometers of standard-gauge, heavy rail line, which will connect the Roy Hill Mine to the proposed Roy Hill Port Terminal at Stanley Point, Port Hedland. The rail line will be capable of transporting 55 million tons per year of iron ore, and it will include rail loops and train loading/unloading facilities at both ends.

The Roy Hill Port Terminal project will include the construction of stockyards; storage workshops with overhead cranes; external cold-rooms; an iron ore-handling facility; a hydraulic clean room; and two berth wharfs, with 12,000-ton-per-hour ship loaders that will be able to load the desired 55 million-ton-per-year capacity.

Samsung C&T (Subiaco, Western Australia), the engineering, procurement and construction (EPC) contractor for the Roy Hill project, recently awarded NRW Holdings Limited (ASX:NWH) (Welshpool, Western Australia) an upgrade of its previous rail site preparation contract. The new contract is valued at $564 million (AUD$620 million) and includes bulk earthworks and drainage for the rail line.

Central Systems recently was awarded a $91 million (AUD$100 million) contract to design and construct 11 rail bridges over the 344-kilometer rail line. Both NRW Holdings Limited and Central Systems have begun early site earthworks for their scopes of work and are expected to be complete in late 2014.

The Roy Hill Port Terminal Project also recently acquired a new contracting company with the acquisition of AMEC Australia (Perth, Western Australia) to perform the design engineering for the Bulk Iron Ore Handling Facility. AMEC Australia recently started its scope of work, and the project is due for completion in late 2014. The total value of this contract is expected to be $18.2 million (AUD$20 million).

Brookfield Multiplex Pty Limited (Perth, Western Australia) recently completed the construction of Roy Hill's 2,000-man accommodation village. The village had a total investment value of $172 million (AUD$190 million) and a total construction time of approximately 15 months.

View Plant Profile - 1090445 3008680
View Project Report - 200006495 300134237 300014511 300014512 300089827

Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, three offices in North America and nine international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info's quality-assurance philosophy, the Living Forward Reporting Principle™, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities.