AMEC and GHD awarded next phase of Southdown magnetite project Australia

13/06/2011


Perth, Australia (14 June 2011) AMEC, the international engineering and project management company, today announced that its minerals and metals business AMEC Minproc, in joint venture with consulting company GHD, has been awarded the definitive feasibility study by the Southdown Magnetite JV for the Southdown magnetite iron ore project, near Albany in the south west of Western Australia.

The value of the contract has not been announced.

The Southdown Magnetite JV is a joint venture between Grange Resources (70 per cent) and Sojitz Resources and Technology Pty Ltd (30 per cent).

The contract award follows the successful completion in 2010 of the prefeasibility study by the MAGJV, a joint venture between AMEC Minproc and GHD.

The scope of work will include engineering and cost definition of the single go-forward option identified during the prefeasibility study phase. Work will commence immediately, with expected completion in December 2011.

AMEC Minproc President Malcolm Brown said: "The Southdown magnetite project will be a significant development in Western Australia and one that AMEC Minproc is pleased to have been selected to deliver".

"Iron ore has become a substantial proportion of our workload and this award recognises our expertise in the commodity, specifically in magnetite which requires large scale process development and design expertise.

"Working closely with GHD, a leading engineering, architecture and environmental consulting company, we are drawing on our 30 years of industry experience to assist the Southdown Magnetite JV in bringing the project closer to production."

GHD Operations Manager Craig Walkemeyer said: "GHD is particularly pleased to continue working with AMEC Minproc in assisting SDJV with the Southdown project. AMEC and GHD have complementary skills, which facilitated the successful completion of the prefeasibility study last year. Our appointment for the definitive feasibility study represents continuing recognition of our non-process infrastructure skills for large scale mineral projects in Western Australia.

Grange CEO Russell Clark added: "Grange is very pleased to have appointed two very capable engineering companies with specialist magnetite experience to further develop the Southdown project."

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