Aggreko gets Amrun power station contract

PRESS RELEASE: Rio Tinto has awarded a A$100 million (US$76.2 million) contract to build a new 20MW power station at its world-class Amrun bauxite project in the far north of Queensland, Australia
Aggreko gets Amrun power station contract Aggreko gets Amrun power station contract Aggreko gets Amrun power station contract Aggreko gets Amrun power station contract Aggreko gets Amrun power station contract

An artist's impression of the Amrun site

Staff reporter

Aggreko Australia Pacific won the contract to build and operate the station which includes a high efficiency modular diesel power system.

The installation will include engine efficiency upgrades and a heat-recovery system to be deployed over the 15-year term of the contract. A five-year option is available to extend the agreement.

Marcia Hanrahan, Rio Tinto Amrun project general manager, said: "The contract to build this power station signifies another important milestone for delivery of the Amrun project. We look forward to partnering with Aggreko on this exciting new venture. The power delivery expertise and operational capabilities that the Aggreko team will bring will be critical to the success of our operations."

A team of more than 20 Aggreko employees including engineers, project managers and technicians will come together to deliver the installation by December 2017 with go-live set for April 2018.

George Whyte, Aggreko Australia Pacific managing director, commented: "Our people on the ground in Weipa and the wider Aggreko team look forward to working with Rio Tinto on this project."

Rio Tinto announced its A$2.6 billion investment in the Amrun project in late 2015. The project is about 40km south of Rio Tinto's existing East Weipa and Andoom mines on the Cape York Peninsula in Queensland and involves the construction of a bauxite mine, processing and port facilities.

Production and shipping are expected to commence in the first half of 2019, ramping up to full production by the end of the year.

At its peak, construction of the project is expected to provide work for around 1,100 people. Once operational, Amrun will help to support ongoing employment for the existing workforce of around 1,400 employees and contractors at Rio Tinto's Cape York bauxite operations.