The contract encompasses the design, procurement, delivery, construction, integration and commissioning of the filtration plant and associated infrastructure.

Once built, the filtration plant will produce lower moisture content bauxite residue from the refinery, which will permit ongoing residue storage in the existing storage area and defer the need to build new drying areas.

Sedgman chief executive and managing director Peter Watson said the company was looking forward to getting started on the project.

“We have been working closely with Alcoa over the last few months to understand and refine the design and delivery model to meet the requirements of the project,” he said.

“Sedgman has extensive experience with the filtration process being used at Kwinana gained from our 35-year history of designing, building and operating minerals processing plants across the coal and metalliferous sectors.

“We continue to look for opportunities within the global minerals sectors where we can leverage our EPC delivery model and multi-commodity minerals processing experience to deliver value for our new and existing clients.”

Design has commenced on the project, with completion scheduled for April 2016.

Sedgman shares were untraded at A51.5c this morning.