WestStar’s SIMPEC Faces Execution Challenge on $115M Alcoa Project

Contract Win Highlights SIMPEC’s Growing Industrial Footprint

WestStar Industrial Limited’s wholly owned subsidiary SIMPEC has been awarded a major contract valued at approximately $115 million to deliver the Residue Filtration Stage 2 Project at Alcoa’s Pinjarra Alumina Refinery. This contract represents a significant step forward for SIMPEC, reinforcing its reputation as a trusted provider of complex industrial construction and engineering services.

The project scope encompasses the supply, construction, and commissioning of structural mechanical and piping (SMP), electrical and instrumentation (E&I), and civil works. The goal is to enhance the refinery’s capacity to process bauxite residue; a by-product of alumina refining; by converting it into filter cake. This process mechanically removes much of the water content, reducing the volume and storage footprint compared to traditional drying methods.

Strategic Importance of Residue Filtration Expansion

Alcoa’s Pinjarra facility is one of the world’s largest alumina refineries, and improving residue management is critical both environmentally and operationally. By increasing filtration capacity, the refinery can better handle residue storage challenges, potentially lowering environmental risks and operational costs. The project’s completion, scheduled for the first quarter of 2027, aligns with broader industry trends emphasizing sustainable processing and waste reduction.

SIMPEC Managing Director Mark Dimasi highlighted the contract as a milestone in the company’s growth trajectory, emphasizing the firm’s multidisciplinary capabilities and commitment to safety and quality. This contract not only boosts SIMPEC’s revenue pipeline but also positions it as a key player in delivering infrastructure upgrades for major resource sector clients.

Implications for WestStar and the Industrial Services Sector

For WestStar Industrial, this contract award underscores the strategic value of its subsidiary SIMPEC within its portfolio. The project’s scale and complexity demonstrate the company’s ability to secure and execute large-scale contracts in the competitive industrial services market. Investors will be watching closely for updates on project execution and financial contributions in upcoming quarterly reports.

While the announcement does not detail margin expectations or potential risks, the timely start and clear completion timeline suggest confidence in delivery capabilities. The contract also reflects ongoing demand for infrastructure upgrades in the resources sector, particularly projects that improve environmental outcomes and operational efficiency.