Big projects boost region

Six major projects worth more than $7.6 billion could carry the South West through the global economic downturn, creating thousands of jobs over the coming years.

Simcoa Operations’ $100 million Silicon Metal Plant Expansion, which will provide 160 local jobs, is expected to be a major boon for the region.

Simcoa announced in October 2009 its decision to expand the company’s 32,000 tonnes per annum capacity silicon metal plant at Kemerton Industrial Park.

Vice-president Jim Brosnan said although commissioning the project was delayed to the fourth quarter he was bullish of the future.

‘‘I think with the economy, construction hasn’t been really strong, so some things have taken longer than they really should have,’’ he said.

‘‘But silicon is very much a growth market at present, we’re often finding that we are turning away orders because we don’t have that extra capacity at the moment that will enable us to tap into new markets.’’

For that to happen, Simcoa is installing a third furnace to increase plant capacity to 48,000tpa.

Mr Brosnan said a second stage expansion, involving installation of a fourth furnace, could take place in 2013 and increase plant capacity to 64,000tpa.

Work will soon begin to double the capacity of the Southern Seawater Desalination Plat plant near Binningup to provide 100 billion litres of drinking water a year.

Premier Colin Barnett said the first stage cost $955 million and the expansion was set to bring total investment in the region to $1.405 billion.

Galaxy Resources will inject a portion of its $75 million Mt Cattlin Lithium Project into the South West after exporting its first shipment of spodumene concentrate from Bunbury Port to China in March.

In China, Galaxy will produce 17,000tpa of battery grade lithium carbonate with a big portion of this to make its way into the growing markets of China and Japan.

Another major South West project under construction is Iluka Resources’ Tutunup South heavy mineral sands mine 15km south-east of Busselton, where the first production is planned to start later this year.

The $30 million project involves constructing mine pits, screen plant, an ore concentrator, solar drying dams and mine infrastructure.

The mine is projected to produce more than one million tonnes of heavy mineral concentrate over its four-year life.

The concentrate will be transported to Capel for further processing to produce ilmenite for upgrading in its synthetic rutile kiln.