A MACKAY-BASED company has been awarded a $9.5million contract for a project that will connect an 11km overland conveyor between two mines.
G&S Engineering has joined with BHP Billiton Mitsubishi Alliance (BMA) over the works on the Caval Ridge Southern Circuit project.
By Christmas, the company will start work on the overland conveyor system, which will allow coal to be transferred from Peak Downs Mine to the coal handling preparation plant at Caval Ridge Mine.
About 70 jobs have been created.
G&S Engineering managing director Mick Crowe said: "Firstly it creates jobs for people, but secondly, this project itself utilises extra capacity at Caval Ridge, which is going to mean the mine is more productive, which means they are more competitive, which in the long run sustains this whole region".
CIMIC Group's construction company, CPB Contractors, was awarded the $38million job to build the conveyor. It is expected to be finished in 2018.