SIMPEC books $115m contract for work at Alcoa's alumina refinery in Pinjarra

Shares in WestStar Industrial Limited are soaring after its engineering subsidiary SIMPEC secured a $115 million procurement and construction contract with Alcoa of Australia.

SIMPEC secured work on Alcoa’s residue filtration stage two project to up processing capacity of converting bauxite residue to filter cake at the Pinjarra alumina refinery.

The listed contractor will provide structural, mechanical, and piping electrical and instrumentation and civil supply, alongside construction and commissioning works.

The work, valued at $115 million, will begin immediately and is scheduled to be finished during the first quarter of the 2027 calendar year.

The market reacted positively early, with WestStar shares up 61 per cent to 9.2 cents as of 10.33am AWST. 

“Securing this major contract marks an important milestone in SIMPEC’s growth journey,” SIMPEC managing director Mark Dimasi said.

“It further strengthens our reputation as a trusted partner for the safe and successful delivery of complex industrial projects, while showcasing our ability to execute multidisciplinary works to the highest standard. 

“We look forward to delivering this project safely, efficiently, and with the quality outcomes expected.”

The announcement comes on the same morning that Alcoa announced a $900 million plan to permanently shut down its Kwinana alumina refinery. Production ended at the facility nearly two years ago.

Tuesday’s market update follows contract wins of $4 million and $11 million respectively for SIMPEC by way of Tianqi Lithium Kwinana.