Leighton wins $1.2b contracts for Ichthys LNG project
LEIGHTON HOLDINGS has secured $1.2 billion worth of contracts linked to the $34 billion Ichthys liquefied natural gas project in Darwin. The first contract, worth $923 million, is to build infrastructure such as roads, foundations and trenches at Blaydin Point for Ichthys's onshore facilities.
Construction is due to start in May and be completed by July 2016, Leighton Contractors said on Friday.
It is the third project Leighton had won for the Ichthys onshore site.
Separately, the company said it had clinched a $280 million operations and maintenance contract for Blaydin Point's temporary facilities.
Leighton Contractors will operate and maintain services for all temporary site facilities, including power supply, water treatment plants and pest control, for more than four years during the construction phase.
The temporary facilities were being built by the infrastructure division of Leighton Contractors.
"We see the LNG and coal seam methane markets offering significant opportunities for the Leighton Group, which has developed a high degree of competency in delivering essential infrastructure for large resources projects," Leighton's chief executive, Hamish Tyrwhitt, said.
The Ichthys gas field lies about 200 kilometres off the West Australian coast. It is expected to produce 8.4 million tonnes of LNG and 1.6 million tonnes of liquefied petroleum gas a year.
Gas will be piped from the Ichthys field to Darwin, about 900 kilometres away, for processing and shipping.
Leighton shares were 14¢ higher at $17.98.