Fortescue contracts Pacific Energy

Pacific Energy subsidiary Contract Power Group has secured the works to build a new power station at Fortescue Metals Group’s Solomon iron ore mine in the Pilbara.

The new power station is understood to have a capacity of around 150 megawatts, and will use reciprocating engines as opposed to turbines.

Contract Power will install 15 Rolls Royce Bergen (RRB) gas generators, supplied by Penske Australia – an agent of Rolls Royce Power Systems, which owns RRB.

The generators are low-emission, medium speed units with market-leading fuel efficiency, Pacific Energy chief executive Jamie Cullen said.

He said the generators would deliver low-cost energy to Fortescue’s Solomon operations and, more broadly, the miner’s growing penetration of renewable energy in the Pilbara.

“We believe that these large-scale reciprocating generators will be the technology of choice for new projects like Fortescue’s Pilbara Generation project, as part of their Pilbara Energy Connect program,” Mr Cullen said.

He said reciprocating generators suited Fortescue’s needs because of their reliability, low emissions and high fuel efficiency, and that they had been proven in harsh operating environments like Western Australia's Pilbara region.

Penske Australia managing director Hamish Christie-Johnston said the project sets a benchmark for medium-speed gas power stations in the Pilbara.

Penske will work with Contract Power to deliver the project, with site works to begin in September.

Contract Power had secured two other deals this year, comprising a 20-year contract with Horizon Power for a high renewables-penetration power station for Esperance and an eight-year contract with Capricorn Metals for a gas-fuelled power station at the Karlawinda goldmine in the Pilbara.