Forge Group Limited
(ASX:FGE) has won a $100 million construction contract from Rio Tinto Limited
(ASX:RIO).
Forge says the contracted project would more than double Rio Tinto's iron ore output at its Yandi Sustaining Project in Western Australia's Pilbara region.
The structural, mechanical and piping works will begin in January next year, with the works set to expand Rio Tinto's iron ore production from 23 million to 56 million tonnes per annum.
The project would employ up to 220 people at its peak.
Forge Group managing director and chief executive officer David Simpson says the company is proud to be part of Rio Tinto's expansion plans and is well positioned for continued success in the 2014 financial year and beyond.
Forge generated a net profit of $62.9 million in fiscal 2013.
