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Increased supply of reliable power to help Rio Tinto expand iron-ore mining
Zurich, Switzerland, Sept. 29, 2008 – ABB, the leading power and automation technology group, has won orders worth $48 million for power projects to help the international mining group, Rio Tinto, increase capacity at its iron-ore mines in the Pilbara region of Western Australia.
ABB will supply turnkey, high-voltage substations to enable Rio Tinto to increase annual production from 163 million tons of iron ore to 220 million tons to meet increased world demand. The projects were awarded under a preferred supplier frame agreement between ABB and Rio Tinto which covers electrification relating to Rio Tinto’s power systems upgrade in the Pilbara region.
“We are pleased to contribute to the reliability of power supplies needed for Rio Tinto to boost capacity in its mines,” said Peter Leupp, head of ABB’s Power Systems division. “Rio Tinto is an important customer and ABB’s track record of past contract deliveries, coupled with technology innovation, systems expertise and short delivery times, has built a relationship of trust.”
The projects are for the turnkey construction of a 220-kilovolt (kV) switching station at the Seven Mile power station and a 220/33kV bulk supply substation at Cape Lambert. These are the first of eight projects to be awarded by Rio Tinto in connection with its power systems upgrade in Pilbara.
The current order includes all design, equipment, civil and electrical works, and project management. The installations are expected to be operational by the end of 2009. ABB will also supply power transformers, instrumentation transformers, disconnectors and a range of high- and medium-voltage switchgear supplied from various ABB factories around the world.
Since 2003, Rio Tinto has committed about $7 billion to upgrading port, rail, power and mine assets in the Pilbara region to increase capacity and capitalize on strong international demand.
ABB (www.abb.com) is a leader in power and automation technologies that enable utility and industry customers to improve performance while lowering environmental impact. The ABB Group of companies operates in around 100 countries and employs about 115,000 people.
