The contract, which will last for twelve months and will employ about 550 people, comprises earthworks and primary civil works at Rio’s Brockman 4 project phase 2 and the Western Turner Syncline-Stage 1 project.

Brockman 4 phase 2 scope of works includes the construction of earthworks, drainage and road works including the civil works for minesite development, the ROM area and mine infrastructure including heavy vehicle access roads and haul roads.

The Western Turner Syncline – Stage 1 project involves the development of the Western turner Syncline deposits located 20km northwest of Tom Price mine in the Pilbara. Stage 1 involves the development of the above the water table ore body.

The contract will support the expansion of Brockman 4 from its current annual capacity of 22 million tonnes to 40Mtpa and Western Turner Syncline to 15Mtpa.

The expansion of the two mines is a key part of Rio’s drive to reach 333Mtpa capacity in the Pilbara in 2015.

The contract is the second awarded to the NRW-Eastern Guruma JV, the first being the $200 million contract awarded in 2009 to construct and operate the Western Turner Syncline.

Shares in NRW were trading 5c lower at $2.85 in late morning trade.