CIMIC Group Limited’s mineral processing company, Sedgman, has been awarded contracts by ASX-listed Resource Generation’s subsidiary Ledjadja Coal for the design, engineering procurement, construction, as well as the ongoing operations and maintenance at the Boikarabelo Coal Handling and Preparation Plant (CHPP) in South Africa.
The design, engineering procurement and construction contract, and a further ancillary works contract, will generate revenue to Sedgman of approximately $210 million over 26 months.
The operations and maintenance contract will generate revenue to Sedgman of $100 million over the four-year period post completion of the facility.
The project comprises design, civil, structural, mechanical, piping, electrical and commissioning works, as well as operations and maintenance, for the 15 million tons per annum CHPP located in the Waterberg Coal fields in the Limpopo Province, South Africa.
Work is expected to commence once the Boikarabelo Project Funding has been finalized, with debt providers currently in the final process of credit approvals.
CIMIC Group Limited is an infrastructure, mining, services and public private partnerships group.
