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DOWNER EDI LIMITED — Capital/Financing Update 2013
Nov 17, 2013
64784_rns_2013-11-17_dbbb152d-44a7-479a-984f-b11f3ebd9614.pdf
Capital/Financing Update
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Media/ ASX and NZX Release
18 November 2013
DOWNER RECEIVES NOTICE OF AWARD FOR ROY HILL MINING CONTRACT
Downer EDI Limited (Downer) announced today it had received a notice of award for a 4.5 year contract with Roy Hill Iron Ore Pty Ltd for the provision of early mining services at the Roy Hill open cut iron ore mine in the Pilbara, Western Australia. Under this contract, Downer will be performing pre-strip and supplementary mining activity over the initial years while Roy Hill will be predominantly undertaking mining on an owner-operator basis. The contract is expected to be executed by the end of November.
Valued at approximately $500 million, the contract is anticipated to commence with infrastructure construction early in the 2014 calendar year before proceeding to full-scale mining in the second half of the year. The services to be provided include drill and blast and load and haul of overburden and ore.
The project will involve a fleet of 18 haul trucks and two excavators, and will employ over 220 people. Capital required for the project will be approximately $110 million - $40 million for new equipment and $70 million provided from existing equipment. Capital will be spent in the 2015 financial year.
The Chief Executive Officer of Downer, Grant Fenn, said Downer received the notice of award based on its strong capabilities, comprehensive services and its expanding presence in Western Australia.
For further information please contact:
Michael Sharp, Group Head of Corporate Affairs and Investor Relations +61 439 470145 Luke Thrum, Manager Investor Relations +61 459 828720
Downer EDI Limited (www.downergroup.com) provides comprehensive engineering and infrastructure management services to the public and private Minerals & Metals, Oil & Gas, Power, Transport Infrastructure, Telecommunications, Water and Property sectors across Australia, New Zealand and the Asia Pacific region.
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Downer EDI Limited ABN 97 003 872 848
A Triniti Business Campus, 39 Delhi Road, North Ryde NSW 2113 P PO Box 1823, North Ryde NSW 2113
T +61 2 9468 9700 | F +61 2 9813 8915 | W downergroup.com