core sector communique

FORGE (ASX:FGE) SUBSIDIARY AWARDED $40 MILLION MCC CONTRACT

 

New Contract - Cimeco $40m

 

MCC Mining (WA) Pty Ltd has confirmed by way of Letter of Intent that it intends to award Forge subsidiary, Cimeco Pty Ltd, a contract for onsite civil, concrete placement and structural steel installation for the Stockpile Area at its Sino Iron Ore Project.

 

The scope of works for Cimeco is for the stacker and reclaimer civil and concrete works and includes 234,000 cubic metres of earthworks, 11,000 cubic metres of concrete and a small quantity of rail installation.

 

This contract is valued at over $40m and follows on from the announcement made to the ASX on the 23rd February 2010 for the civil and concrete package for the Concentrate Terminal at the

Sino Iron Ore site valued in excess of $20m. Both packages will commence by late March 2010.

 

CITIC Pacific’s Sino Iron project is a world class, magnetite iron ore project located at Cape Preston, 100km south west of Karratha in Western Australia’s Pilbara region. It is the largest planned

magnetite project in Australia.

 

On the 5th March 2010 Forge also announced contracts totaling $40m, one for the lump sum contract to complete engineering, design and construction of Lynas Corporation’s Mount Weld Concentration Plant and the other for Adamus Resources for field erected tanks at their Nzema Gold Operations in Ghana, West Africa.

 

Forge’s forward order book stands at approximately $300m.