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O’Donnell Griffin Wins $23 Million of New Contracts at Dalrymple Bay

08/04/2008

Leading electrical engineering group O’Donnell Griffin (ODG), part of Norfolk Group Ltd. (ASX: NFK), continues to expand its role in the $1.2 billion Dalrymple Bay Coal Terminal redevelopment with the winning of two new contracts totalling almost $23 million at the site.

Current contractual works for ODG at Dalrymple Bay are now $36.3 million. The project, known as DBCT-7X, is based south of Mackay in northern Queensland.

The two new contracts are for $17.4 million of works for the John Holland Pty Ltd and a $5.4 million contract with Gladstone-based Walz Construction Pty Ltd.

These follow ODG’s initial $13.5 million contract at the site for lessee Babcock & Brown Industries (BBI) through site managers, Connell Hatch.

ODG Project Manager, Mr Steve Jago, said the initial works involved a complete high-voltage upgrade of the site in just over 12 months. The works are due to be completed by early 2008.

The $17.4 million contract with John Holland is for five kilometres of offshore conveyors, a new substation within the bay and a 400 metre extension to the existing berth. The $5.4 million contract with Walz Construction is for the onshore component of this extension, including the installation of transfer towers and an onshore conveyor system to deliver coal to the new offshore conveyor system.

“The installation is going to be very demanding because in some areas we are going to be running cables out 30 to 40 metres above the water,” said Mr Jago.

Both contracts are in planning and procurement stages with construction due to begin shortly.

The new contracts follow a distinguished track record for ODG at Dalrymple Bay, with works completed so far meeting stringent time and budget targets while keeping the coal terminal running at near-full capacity during the upgrade, said Mr Jago. This has required careful planning of shutdowns and changeovers, he said.

Mr Enrico Pecora, General Manager of ODG, said the company continues to forge highly co-operative and rewarding relationships with all parties involved in these projects, including BBI, Walz, Connell Hatch and John Holland.

The John Holland contract follows previous works for the company on the adjacent Hay Point Coal Terminal expansion.

“Continued success in the delivery of major mining projects across Australia solidifies ODG’s position as a premium provider of complete ‘mine to market’ electrical solutions,” said Mr Pecora.

This seventh extension (7X) to the Dalrymple Bay coal terminal is part of ODG’s contribution to expanding Queensland’s infrastructure to keep pace with the rapidly developing demands of China and Asia. The upgrade will increase coal-loading capacity by more than 20 per cent to about 85 million tonnes, with completion of the new 3.8 kilometre jetty due by the end of 2008

The terminal facility handles and outloads onto bulk carriers thousands of tonnes of coal a day transported via electrified railway from the Bowen Basin. The upgrade addresses ongoing backlogs and bottlenecks in outloading the coal.

Media Contact
Grant Muller
0411 602 233

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