Leighton consortium awarded $900m contract

November 12, 2009

Leighton Holdings Limited (LEI) said it, in a consortium with Saipem, has been selected as the preferred proponent to develop the $900 million Chevron Gorgon LNG Jetty and Marine Structures project. The company said construction of the jetty is scheduled to commence in October 2010 on Barrow Island, 70 kilometres off the Pilbara coast of Western Australia, and is expected to be completed in 2013.

General Manager Western Region, Construction Division of Leighton Contractors, Ray Sputore, said the Saipem Leighton Consortium has proposed an innovative alternative structure design that would enhance local workforce participation and reduce the environmental impact during the construction of the jetty.

Mr Sputore said that concrete structures, known as caissons, would be manufactured at the Australian Marine Complex in Henderson, transported to Barrow Island and lowered onto gravel beds placed at intervals on the sea floor to provide a support structure for the jetty.

“By using these locally manufactured caissons we will avoid the traditional piled construction method, which would have required hundreds of steel piles to be driven into the sea bed – this will reduce both the length of construction and eliminate the noise and vibration associated with driving piles into the sea bed,” he said.

The company also announced that its Asian arm Leighton LLC has been selected by Mongolia Energy Corporation as its international mining contractor for the development of its Khushuut coal mine project in western Mongolia.

As at 1325 AEDT, Leighton shares were up 24c to $38.36.

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