CIMIC Group companies UGL and CPB Contractors have entered an early contractor involvement (ECI) contract with energy infrastructure company CuString Pty Ltd related to the delivery of CopperString 2.0 (copperstring2.com.au), a high-voltage transmission network in Queensland extending from Townsville in the east to Mount Isa in the west.
UGL (ugl.com) and CPB Contractors (cpbcon.com.au) are also preferred contractors for the delivery phase of the project, which is expected to have revenue for the companies of approximately $1.7 billion over the three-year construction period. Awarding of the delivery phase is subject to completion of the ECI phase and the achievement of approvals and financing and will be confirmed by CIMIC at contract execution.
The $7 million ECI contract involves scoping, designing, site investigations, pricing and finalising the Engineering, Procurement and Construction contract for substations and high voltage transmission lines that will connect Mount Isa’s isolated electricity supply network into the National Electricity Market (NEM) at Woodstock, just south of Townsville. CopperString will also provide connection options through the NEM for mines and industrial customers in the North West Minerals Province, and regional wind and solar resources, and potentially hydrogen production facilities along the corridor from Townsville to Mount Isa.
The delivery phase would include the design, construction and commissioning of four new substations, two substation extensions and approximately 1,100kms of high voltage transmission line for the project.
CIMIC Group Executive Chairman and Chief Executive Officer Juan Santamaria said: “UGL and CPB Contractors have proven experience in the delivery of critical infrastructure. We are pleased to support the delivery of this vital transmission line and will look to maximise the economic benefits and employment opportunities that this project can bring to regional communities in North and North West Queensland.”
UGL Managing Director Doug Moss said: “UGL has solid experience delivering high voltage power projects in some of Australia’s remote regions, including the HV connection that feeds Prominent Hill in South Australia. We are delighted to be working with CuString Pty Ltd, the proponent of the CopperString project, to deliver power infrastructure that will support the growth of this globally significant resources region and export supply chain.”
CPB Contractors Managing Director Jason Spears said: “CPB Contractors will leverage its experience in delivering nation building infrastructure to ensure that this strategically important transmission line is completed in a safe and timely manner. In doing so, we’ll also create job and procurement opportunities for Queensland’s regional communities.”
About CIMIC Group Limited
CIMIC Group Limited (cimic.com.au) is a world-leading infrastructure, mining, services and public private partnerships group. We have businesses in construction (CPB Contractors and Leighton Asia), mining and mineral processing (Thiess and Sedgman), operation and maintenance services (UGL), public private partnerships (Pacific Partnerships) and engineering (EIC Activities). Our mission is to generate sustainable shareholder returns by delivering innovative and competitive solutions for clients and safe, fulfilling careers for our people. With a history since 1899, and more than 50,000 people in 20 countries, we strive to be known for our principles of Integrity, Accountability, Innovation and Delivery, underpinned by Safety. CIMIC is a member of the S&P/ASX 100 index, the Dow Jones Sustainability Australia Index and FTSE4Good.
Contact: Mr Justin Grogan, Investor Relations; T+61(2) 9925 6628.