Fortescue awards Kings iron ore project mining contract to Leighton

Australian miner Fortescue Metals Group (Fortescue) has announced that it has awarded Australia-based service provider Leighton Contractors Pty Ltd a A$1.3 billion mining contract for its Kings iron ore project in Western Australia's Pilbara region. The project in question is currently under construction and is expected to be completed within months.
 
The Kings iron ore project contract includes operating and maintaining the open-cut mining fleet, mine planning, ore quality control, ore processing facilities and associated infrastructure, such as the airport and village. The contract extends Fortescue's partnership with Leighton Contractors following the initial A$1.5 billion five-year contract signed in September 2012 for the nearby Firetail deposit.
 
Fortescue said that the award marked another significant milestone in Fortescue's expansion to 155 million mt per year by the end of calendar year 2013. The production capacity of 155 million mt per year will be achieved with the completion of Solomon, consolidating the company's position as one of the world's largest low-cost producers of iron ore.
 
As SteelOrbis previously reported, in May of the current year Fortescue opened its Firetail iron ore mine, the first stage of the US$3.2 billion Solomon hub. Firetail is the third mine opened by Fortescue in five years.