INTERNATIONAL COAL NEWS

JV tapped for Cerrejon expansion

CANADA-based SNC-Lavaline and joint venture partner Sinclair Knight Merz has been contracted for ...

Donna Schmidt

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The two will provide engineering, procurement, construction management and pre-commissioning services for the mine’s facilities, including rail and port infrastructure at Puerto Bolivar.

"The project not only further strengthens our delivery expertise in the coal sector but also enhances our presence in Colombia," SNC executive vice-president Feroz Ashraf said.

"Furthermore, given our recent acquisition of Itansuca in Colombia, with over 1000 employees, we are well-positioned to serve our clients in the fields of energy, infrastructure, oil and gas and mining and metallurgy."

The Cerrejon complex currently produces 32 million tonnes annually of thermal export coal.

The expansion will increase exported volumes to 40Mtpa with a planned future upgrade that will spike output to 60Mtpa.

The price tag for the mine’s initial project phase is more than $US1 billion; the value under the joint venture's management is approximately $370 million of that.

SKM mining and metals senior vice-president and general manager Santo Rizzuto said that the Cerrejon project was a significant opportunity to grow into the expanding region alongside existing clients.

"SKM has a long history of working in coal in the Bowen Basin in Queensland, Australia, and, combined with our growing presence in South America, the Cerrejon project will enable us to bring our skills and experience in engineering and project delivery to this important project and region."

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