GVK appoints Thiess as contractor for Australia project

GVK Hancock Coal, belonging to the Hyderabad-based GVK group, has appointed Thiess as preferred mine operations contractor for its $10 billion Alpha thermal coal project in the Galilee Basin of Australia. 

With an annual turnover of $ 6.5 billion and 20,000 employees, Thiess is Australia's leading construction, mining and services contractor, and a wholly-owned subsidiary of Leighton Holdings Limited.

An early services agreement signed this week will see GVK Hancock working exclusively with Thiess to develop a 10-year mine plan and budget. The operational strategy, mine planning and management plan are expected to be finalised by the end of the year, GVK stated in a press release here on Thursday.

In September 2011, GVK had acquired a 79 per cent equity stake each in Alpha Coal and Alpha West Coal Mines and a 100 per cent stake in Kevin's Corner Coal Mines, located in Queensland of Australia, from Hancock Coal Pty Limited for US $1.26 billion.

These mines have stated to be having reserves of about 8 billion tonne and a capacity of more than 60 million tonne per annum.

GVK had also acquired a 100 per cent stake in a 500-km rail link and a 60 million tonne per annum port as part of the 'pit-to-port' logistics solution.