Thiess wins Arutmin order

Thiess wins Arutmin order

SYDNEY (Dow Jones): PT Thiess Contractors Indonesia, a subsidiary of Australia's Leighton Holdings Ltd., said on Friday it has won a contract worth A$800 million over five years to operate two coal mines in Kalimantan in Indonesia.

The contract is with PT Arutmin, which is 80 percent-owned by Australia's Broken Hill Proprietary Co. (BHP) and 20 percent- owned by Indonesia's Bakrie Group.

The coal mines are at Senakin and Satui in Southern Kalimantan, Leighton said in a statement to the Australian Stock Exchange.

Under the terms of the contract, Thiess will be responsible for the complete operation of both mines, from planning through to production, which is expected to be around 9.5 million metric tons of coal a year.

Thiess Managing Director Martin Albrecht said the company's work-in-hand, or contracts outstanding, now exceeds A$1.1 billion.

The company has provided services to the mines since it made its first foray into Kalimantan in 1989. It has built two coal preparation plants and associated port facilities at Senakin and had contracts for road construction and earth removal at Satui.

Thiess, which is 47 percent-owned by Hochtief AG of Germany, will employ 1,650 people at the two Indonesian mines.