Leighton & Parsons Brinckerhoff Proceeds with Final Purchasing for Leichhardt Power Project in Australia

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Researched by Industrial Info Resources (Perth, Australia)--AGL Energy Limited (ASX:AGK) (Sydney, Australia), with 50:50 joint venture (JV) consortium partner APA Group (ASX:APA) (Brisbane, Australia), is developing the 60-megawatt (MW) Leichhardt Power Station in Queensland, Australia, which is part of the Diamantina Development. The consortium is currently completing the final tendering process, with construction due to begin by June 2013.

In November 2012, the JV consortium awarded a $63 million contract to Leighton Contractors to provide the engineering, procurement and construction (EPC) services for the project. Leighton Contractors recently selected Parsons Brinckerhoff Australia Pty Limited (PB) (Brisbane, Australia) as design consultants to provide design and engineering work. Leighton and PB are now finalizing the tenders and supplier contracts for the project, which soon will be followed by site preparation and construction activities. According to the project spokesperson, construction on Leichhardt will begin by June 2013 and will be completed by April 2014.

The Leichhardt Power Station will be located six kilometres south of Mount Isa, and will consist of a single 60-MW Rolls Royce Trent Gas Turbine. The power station will serve as a backup facility for the 242-MW Diamantina Power Station and will supply electricity to the neighbouring industrial operations, including Xstrata Copper Mount Isa Mines, which is operated by Xstrata Coal Pty Limited (Sydney, Australia).

Xstrata has signed a 17-year off-take deal with the Diamantina Consortium, which will underpin the development of this power station, as well as the $500 million Diamantina Natural Gas-Fired Power Station to supply the electricity to the mine. The Diamantina Natural Gas-Fired Power Station is under construction and is to be completed by June 2014.

AGL Energy Limited is Australia's largest gas and electricity retailer. The company invests largely in the supply of gas and electricity and has a growing portfolio of renewable energy projects, predominately windfarms. Industrial Info is tracking several AGL Energy projects in various development phases across Australia.

Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, and eight offices outside of North America, 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.