Sedgman was awarded two engineering, procurement and construction contracts and an operating contract by QCoal Group for the Byerwen coal mine.

The first contract is for a stockpiling and train load-out facility, the second is for a coal handling and processing plant, and the third is for the initial operation of the crushing and stockpiling facilities.

"By using innovative modular processing plant design, we have been able to significantly reduce the site construction time and cost for this project, delivering value for our client," Sedgman managing director Grant Fraser said.

Sedgman has a long working relationship with QCoal, having worked with the privately owned company since 2007.

The Byerwen open cut and underground mine will produce up to 10 million tonnes per annum of hard coking coal, to be railed to Abbot Point Coal Terminal for export.

CIMIC shares fell by 39c this morning to $50.52.