SIMPEC Secures $17M Contract for Pilbara Lithium Refining Plant
WestStar Industrial’s subsidiary SIMPEC has landed a $17 million contract to deliver key construction works for a pioneering lithium refining plant in Western Australia, marking a significant step in Australia’s energy transition.
- SIMPEC awarded $17 million contract for structural, mechanical, piping, electrical, and instrumentation works
- Project located at Pilgangoora lithium operation in the Pilbara, WA
- Joint venture between Pilbara Minerals and Calix to demonstrate advanced lithium refining
- Construction to start immediately with completion targeted for Q4 2025
- Project aims to produce higher-value lithium-enriched product supporting energy transition
SIMPEC’s Strategic Win in Lithium Processing
WestStar Industrial Limited’s wholly owned subsidiary SIMPEC has been awarded a substantial contract valued at approximately $17 million to undertake the structural, mechanical, piping, electrical, and instrumentation works for the Mid-Stream Demonstration Plant Project. This project is situated at the Pilgangoora lithium operation in the resource-rich Pilbara region of Western Australia.
The Mid-Stream Demonstration Plant is a joint venture between Pilbara Minerals Limited and Calix Limited, aiming to validate a novel refining process that produces a lithium-enriched product directly at the mine site. This approach could revolutionize lithium processing by enhancing product value and reducing environmental impact.
Aligning with Australia’s Energy Transition
SIMPEC’s Managing Director, Mark Dimasi, emphasized that the contract aligns closely with the company’s broader strategy to support Australia’s shift towards cleaner energy. By delivering the structural, mechanical, piping, electrical, and instrumentation packages, SIMPEC is positioned to play a pivotal role in advancing technologies that underpin the energy transition.
The project’s focus on producing a higher-value lithium product at the mine site promises several industry-wide benefits, including reduced carbon emissions by minimizing waste transport and improved resource utilization. These factors contribute to the growing momentum behind sustainable mining and processing practices in Australia.
Project Timeline and Industry Implications
Construction is set to commence immediately, with completion anticipated by the fourth quarter of 2025. This timeline underscores the urgency and importance placed on developing innovative lithium processing capabilities amid rising global demand for battery materials.
For WestStar and SIMPEC, this contract not only reinforces their reputation for delivering complex industrial projects but also strengthens their relationships with key players like Pilbara Minerals and Calix. The success of this demonstration plant could pave the way for broader adoption of mid-stream refining technologies, potentially reshaping the lithium supply chain in Australia and beyond.
Bottom Line?
As construction begins, all eyes will be on the demonstration plant’s ability to prove commercial viability and drive Australia’s lithium industry forward.
Questions in the middle?
- Will the Mid-Stream Demonstration Plant achieve its targeted lithium enrichment and environmental benefits?
- How might this project influence future lithium processing contracts and partnerships in Australia?
- What are the long-term commercial prospects for the joint venture beyond the demonstration phase?