TORONTO—Mining giant Vale S.A. has awarded a two-year, $600-million contract to a group of construction partners called KBAC Constructors for work on its Long Harbour nickel processing plant in Voisey’s Bay, N.L.
“The mechanical, piping, electrical and instrumentation services contract is the largest single contract that we have awarded to date on the Long Harbour construction project and one of the largest supplier contracts awarded at Vale,” said John Pollesel, chief operating officer for Vale’s base metals business in the North Atlantic region.
“The partners in the KBAC partnership have been working with us over the last year and we are very pleased to see them come together in a partnership to work on this part of the project,” Pollesel said.
KBAC is a partnership of Peter Kiewit Infrastructure Co., BMA Constructors, a Black & McDonald-Alberici Joint Venture, and G.J. Cahill & Company (1979) Ltd.
“To date, we have awarded contracts valued in excess of $1.5 billion, of which 90 per cent has been awarded to local companies who are providing construction and support services at the Long Harbour site.”
Long Harbour is an integral part of Vale’s $10-billion capital investment program in Canada announced last November. It represents a US$2.8-billion investment by Vale in a processing plant that will employ hydrometallurgical technology developed by Vale in Canada with support from Industry Canada’s technology partnerships program.
Long Harbour will generate 10 million person-years of employment during the construction phase of the project, which is scheduled to be completed in February 2013.
Once in operation, it will have a permanent workforce of 475.