Resource sector services company Sedgman Ltd
(ASX:SDM) has signed an $80 million construction contract for the Benga coal handling and preparation plant in Mozambique.
The new contract takes the total value of Benga project work awarded to the company to over $143 million.
Sedgman’s work relates to the $US270 million first stage of the project, which is being developed by Riversdale Mining Ltd (ASX:RIV).
Stage 1 involves processing 5.3 million Run of Mine tonnes per year to produce about 1.7 million tonnes per annum of hard coking coal and 0.3 million tonnes per annum of export thermal coal.
Sedgman managing director Mark Read says winning the contracts for the Benga project further supports the company’s positive growth outlook for 2011 and beyond, as it increases its order book and capitalises on project opportunities in Australia and abroad.
The company is currently focused on a $5.5 billion global pipeline of project opportunities in coal and metals, particularly in the emerging coal basins of southern Africa, China and South America.
Sedgman posted a profit of almost $7.1 million in fiscal 2009.
