Fortescue’s Eliwana project delivers $1bn boost to Aussie businesses

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Fortescue Metals Group has announced that businesses across Western Australia and Australia have benefitted from A$1 billion in contracts awarded as part of its Eliwana Mine and Rail Project.

Last week, Fortescue’s CEO Elizabeth Gaines was joined by WA Premier Mark McGowan on a visit to the facilities of Pacific Industrial Company (PIC) in Kwinana, where over 2,600 tonnes of fabricated structural steel is being manufactured into rail and road bridge girder modules for Eliwana.

During the visit, the Premier announced the grant of the Special Rail License for the construction and operation of the Eliwana railway.

“We would like to thank the WA Government for its support of this important project which will create jobs and make a significant contribution to the State and nation’s economy,” Ms Gaines said, adding that 82% of project expenditure to date has been awarded to around 290 West Australian businesses, with a further 9%with vendors across Australia.

“As a proud West Australian company, we are pleased to provide opportunities for local small and medium sized businesses and in turn drive economic growth and employment across the State through our strong focus on local content,” Ms Gaines continued.

“From the outset, it was Fortescue’s vision to ensure communities benefit from our success and we believe procurement is a powerful lever for driving positive social and economic outcomes.

“Importantly, we are proud to support Aboriginal participation in the resources sector, with the Eliwana project awarding 19 contracts worth a total of A$25.5 million to Aboriginal contractors as part of our pioneering Billion Opportunities program.”

PIC Managing Director Marco Mosole added: “We are pleased to have been awarded this significant contract for Fortescue’s Eliwana project, offering employment opportunities for 100 people including a number of apprentices during the fabrication period.

“The road and rail bridge girders are the biggest and heaviest ever constructed in WA and with all the steel manufactured and fabricated in Australia, it has enabled the industry to demonstrate the capacity and capability that exist here to undertake these sizable projects,” Mr Mosole said.

Fortescue’s US$1.275 billion Eliwana Mine and Rail development includes 143km of rail and a 30mpta dry OPF, utilising the latest technology, autonomous trucks and design efficiency.

The project underpins the introduction of the 60.1% iron grade product, West Pilbara Fines, and will maintain Fortescue’s low cost status, providing greater flexibility to capitalise on market dynamics while maintaining the company’s overall production rate of a minimum 170mtpa over 20 years.

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