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Project Location :
Western Australia
Project Manager :
CITIC Pacific Mining Management Limited
Project Owner :
CITIC Pacific Limited
Constructor :
See Project details
Construction Period :
First production scheduled second half 2010
Project Value :
US$3.5 billion
Project Status :
Approved
 
Project Details Project Details
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CITIC Pacific’s Sino Iron project is a world class, large-scale 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.

CITIC Pacific Mining (CPM) has welcomed the approval by the Western Australian Parliament of amendments to the State Agreement Act which governs the Sino Iron project.
The amendments mark a significant milestone for the project and will enable CPM to produce and export magnetite concentrate in addition to pellets by employing conventional open pit mining and large scale downstream processing.

The Sino Iron project has over two billion tonnes of identified ore and targets exports of more than 27.6 million tonnes of high grade iron ore concentrate and pellets each year over its estimated projected mine life of 25 years.
The project features significant investment in dedicated infrastructure including concentrate processing, pelletising, a 51 gigalitre desalination plant and port facility, as well as a 450 MW combined cycle gas fired power station.

The project is managed by CITIC Pacific Mining, a wholly owned subsidiary of CITIC Pacific, headquartered in Perth. CITIC Pacific Ltd is a Hong Kong incorporated company listed on the Hong Kong Stock Exchange. Its majority shareholder is the CITIC Group, a state owned enterprise in China. As well as being the largest specialty steel producer in China, CITIC Pacific’s business interests include civil infrastructure, property development, aviation, power generation and automobile sales.


Further company details can be found at www.citicpacificmining.com

General EPCM Contractor for the Project - Infrastructure, Process Plant and Port Stockyard
The construction contract for the project infrastructurehas been awarded to China Metallurgical Group Corporation (MCC), an international construction company which has undertaken similar construction works for large scale iron ore projects in various countries including China, Brazil and Venezuela. MCC has also acquired a 20 percent equity stake in the Sino Iron Project. Construction works includes:
  • Infrastructure including site access roads, batching plant, major earthworks, buildings, water system accommodation, fuel system, electrical distribution, and communications.
  • Process plant including conventional crushers and grinding mills, magnetic separators, magnetite concentrator and pellet plant.
  • The port infrastructure will include a port stockyard and barge loading facility. Barges and trans-shipment facilities will be providedby a separate Operations Contractor.
Other Primary Contractors
A number of other significant construction contracts for the activities listed below are yet to be awarded. Details will be posted on Project Connect when contract awards are finalised.
Jetty/breakwater facilities
  • Construction contracts for the construction of the breakwater (and bulk earthworks) and the marine works are expected to be awarded in 2009.
Desalination Plant
  • A 51 gigalitre reverse osmosis desalination plant will supply process and potable water for the crushers, the concentrator and dust suppression. The Design and Supply Contract has been awarded to IDE Technologies (Australia) Ltd.
  • The construction contract for the desalination plant is expected to be finalised and awarded in Q2 2009.
Power Plant
  • A power plant with a generation capacity of at least 450MW will be constructed adjacent to the concentrator plant. AE&E Australia Pty Ltd has been awarded the EPCM contract for the power plant.

PROCESS FLOW CHART

Local Content and Communities

Community involvement in the Sino Iron project is a critical element to the project’s success.


In addition to working with key stakeholders, CITIC Pacific Mining is developing partnerships with local communities – including indigenous people – to deliver long-term social, economic and environmental benefits.
CITIC Pacific Mining has a corporate commitment to providing local industry with full, fair and reasonable opportunity to provide goods and services to the Sino Iron project during the construction and post construction phases. The Sino Iron project provides local, Western Australian and Australian suppliers with a unique opportunity to establish broader business and cultural links with China. Being the first of a number of significant magnetite projects being planned for Australia, the Sino Iron project also offers unique opportunities for Australian industry to develop new areas of capability.

Industry Capability Network of Western Australia

The Industry Capability Network (ICNWA) is assisting the project identify Australian industry capability.


Regional Suppliers

To find suppliers located in the Pilbara region CLICK HERE (link will open in a new window) or to find suppliers located anywhere in Australia please contact Mr Linus O'Brien at ICNWA. Phone (+61 8) 9365 7623, e-mail: linusobrien.icn@cciwa.com


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