#Rio Tinto#iron ore#Tom Price#investment

Rio Tinto ramps investment in Tom Price

Rio Tinto has awarded contracts worth in excess of $385mn (A$500mn) to continue development of its Greater Tom Price operations in Western Australia

|Mar 1|magazine5 min read

The world’s second largest iron ore producer is continuing to hike its operations in Western Australia’s (WA) Pilbara region. Local WA and Pilbara Aboriginal businesses have benefited from continued investment to the tune of $385mn (A$500mn). This figure represents 85% of the spend so far by Rio Tinto, and principal contractor Mondium, on construction of the Western Turner Syncline Phase 2 (WTS2) expansion which began early last year.

At its peak level of construction, the development work will support a workforce of over 1,000 people with the majority employed by WA businesses, including Guma Warnii, Monadelphous, Mondium, Kerman Contracting, Whittens, North West Mining & Civil, MACA Civil, Linkforce and Aerison.

Rio Tinto approved a planned $749mn (A$1 billion) investment in the mine in November 2019 to sustain production capacity of its iron ore business in the Pilbara. The investment allows for the mining of existing and new deposits at WTS2 and includes construction of a new crusher and a 13-kilometre conveyor which will help lower greenhouse gas emissions from the mine by 3.5 percent compared to road haulage. First production from the new deposits at WTS2 is expected in the second half of 2021.

Premier and Minister for State Development, Jobs and Trade, Mark McGowan commented: “The Pilbara region is the engine room of the nation, and thanks to Western Australia’s strong management of the pandemic, we can expect more job-creating projects to come online in the coming years.

“Rio Tinto has been embedded in the Tom Price community for decades and have made a significant contribution to the town. I congratulate Rio Tinto for its commitment to this important project.

“This project will ensure Tom Price has a bright future and my government is committed to ensuring mining communities have first class services to support local families.”

Rio Tinto Iron Ore managing director of Pilbara Mines, Matthew Holcz, said Rio Tinto’s commitment to Tom Price and regional communities remains as strong as ever.

“We are proud the vast majority of contracts we have awarded to date have been to Western Australian businesses, including Pilbara Aboriginal businesses. This investment demonstrates our commitment to spending with local businesses, buying locally and supporting our communities through the creation of jobs."

Press Release
Mining Global magazine