Fortescue sues Clover over defects at Iron Bridge mine
Fortescue and joint-venture partners are suing pipe supplier Clover over defects in the 145-kilometre Canning Basin raw-water pipeline.
Fortescue has filed legal action in Western Australia's Supreme Court. The case is about a faulty water pipeline at its Iron Bridge magnetite project in the Pilbara.
The pipeline runs about 145 kilometres. The pipeline carries raw water from the Canning Basin to the mine's processing plant.
Pipes supplied by Clover and made by Superlit are degrading and leaking. They cannot operate at full capacity.
Fortescue is seeking damages for breach of contract and duty of care. Superlit is also named as a defendant.
The mining giant said operations remain unaffected. Production guidance is unchanged.
Fortescue uses a water-banking strategy at the tailings facility. This reduces reliance on the pipeline during leak events.
- 145 kilometres
- Pipeline length
- Clover and Superlit
- Pipe suppliers named as defendants
- $US30 billion
- Fortescue debt load
- FMG Magnetite and Formosa Steel
- Project joint venture owners
Why it mattersIron Bridge is a multibillion-dollar project. Pipeline defects threaten reliability and increase operational costs. However, Fortescue says current output is safe.
AustraliaFortescue is a major Australian exporter and significant employer. Any issue at this scale project affects the company's bottom line and shareholder value.
Corroborated bytheage.com.au
✓ Claims checked against the source. checked 2 h ago
Open this story in InSnip →
