Spanish firm Acciona Agua has been awarded a USD 143 million contract to install an iron ore concentrate and water pumping system for Chilean miner CMP's Cerro Negro Norte iron ore project in northern region III, the former said in a release.

The contract involves the development of an integrated solution for the pumping of iron ore concentrate from the mining operation to the Punta Totoralillo port and of industrial-grade water to the operation from the desalination plant that Acciona is already building

Acciona was awarded the construction of the desalination plant in March. The reverse osmosis plant is scheduled to start operating during 2013. The plant will process 400l/s in an initial phase, with capacity for expansion to 600l/s.

The desalination plant and the pumping system, which will cost USD 190 million will be 51% financed by Chilean iron and still group CAP, which owns of a 75% stake in CMP. The remainder will come from Japan's Mitsubishi, which has a 25% stake in the miner.

CMP is currently advancing Cerro Negro Norte's detailed engineering works. The US$575mn project is scheduled to start operating in 1Q13, reaching full production capacity of 4 million tonne per year of iron ore in concentrates the following year with a lifespan of 19 years.
(Sourced from BNamericas)