Ausenco Limited (AAX) has won the contract for engineering, procurement and construction management services for Oz Minerals Limited's (OZL) Martabe gold/silver project in Indonesia. Ausenco will manage US$237 million ($270 million) of the project development activities for the process plant and related infrastructure.
Ausenco said the US$310 million Martabe project was expected to produce about 200,000 ounces of gold and 2,000,000 ounces of silver over a nine year life from project completion in late 2009.
CEO Zimi Meka said the contract would increase the company's Asian footprint and bode well for the company's future outlook.
"We are very positive about the continuing strong global outlook in the demand for commodities," Mr Meka said.
"This project continues to solidify the group's presence in Asia, particularly as a leading engineering firm in the delivery of minerals projects in this region," he said.
He said combined with global exploration expenditure continuing at record levels and resource companies committing significant capital expenditure to new projects, the outlook and demand for Ausenco's services remained at historic levels.
Mr Meka added said that the partnership continued the positive working relationship between the two companies that had begun in Laos in 2001.
"We are pleased that we are able to continue our work with OZ Minerals as one of the world's leading mining companies," Mr Meka said.
As at 1436 AEST, shares in Ausenco were up 14c to $13.14, while Oz Minerals was up 17.5c, or more than 10%, to $1.86.