IRVING, Texas--(BUSINESS WIRE)--Fluor Corporation (NYSE: FLR) announced today that the company has
reached an agreement with Ivanhoe Mines Ltd. (NYSE, TSX, NASDAQ: IVN) to
move forward with full-scale work at its gold and copper mine
development project in southern Mongolia. Fluor???s scope of work will
include overall program management (PM) as well as engineering,
procurement and construction management (EPCM) for select portions of
the construction of the Oyu Tolgoi mining complex. Fluor booked
approximately $1 billion into backlog for the project during the second
quarter of 2010.
“We have been engaged with Ivanhoe for many years on this
project and our team is eager to participate in full-scale, site-wide
work that began earlier this year.”
Beginning in late 2005, under direction from Ivanhoe, Fluor carried out
a strategic planning review of the integrated development plan (IDP-05)
for the Oyu Tolgoi project including a strategic assessment of the
concentrator facilities development. Since completion of that work,
Fluor has continued to be involved in the project providing site support
services and preliminary engineering in preparation for the commencement
of full-scale construction. Now, with a definitive agreement in place,
Fluor will be in charge of overall PM as well as EPCM-related services
for the ore processing plant and mine-related infrastructure such as
roads, water supply, a permanent airport and administration buildings.
The Oyu Tolgoi project is located in the South Gobi region of Mongolia.
The mine is expected to produce 1.2 billion pounds of copper and 650,000
ounces of gold annually for the first ten years. The Mongolian
Government holds a 34 percent interest in the Oyu Tolgoi project with
Ivanhoe Mines controlling the remaining interest.
???We are gratified to see the Oyu Tolgoi project reach this important
milestone,??? said Dwayne Wilson, group president of Fluor???s Industrial
business. ???We have been engaged with Ivanhoe for many years on this
project and our team is eager to participate in full-scale, site-wide
work that began earlier this year.???
Fluor will execute the engineering for the project from its Vancouver,
Canada and Beijing, China offices with operations being managed on-site
in Mongolia. The project is currently underway with engineering expected
to reach completion in the first quarter of 2011 and construction
completion scheduled for 2013. At peak construction, the project will
employ approximately 2,500 local workers. Over the anticipated 59-year
life of the mine, the project will provide an important source of state
revenue and long-term employment for the people of Mongolia.
About Ivanhoe Mines
Ivanhoe Mines (NYSE, NASDAQ & TSX: IVN) is an international mining
company with operations focused in the Asia Pacific region. Assets
include the company???s 66% interest in the world-scale, Oyu Tolgoi
copper-gold mine development project in southern Mongolia; its 57%
interest in Mongolian coal miner SouthGobi Resources (TSX: SGQ; HK:
1878); an 81% interest in Ivanhoe Australia (ASX: IVA), a
copper-gold-uranium-molybdenum-rhenium exploration and development
company; and a 50% interest in Altynalmas Gold Ltd., a private company
developing the Kyzyl Gold Project in Kazakhstan. Ivanhoe Mines' shares
are listed on the New York, NASDAQ and Toronto stock exchanges under the
symbol IVN.
About Fluor Corporation
Fluor Corporation (NYSE: FLR) designs, builds and maintains many of the
world's most challenging and complex projects. Through its global
network of offices on six continents, the company provides comprehensive
capabilities and world-class expertise in the fields of engineering,
procurement, construction, commissioning, operations, maintenance and
project management. Headquartered in Irving, Texas, Fluor is a FORTUNE
200 company and had revenues of $22 billion in 2009. For more
information visit www.fluor.com.