Generation Steel has engaged Clough to design, plan and price construction of a proposed $850 million steel mill at Collie in Western Australia.
Clough’s brief covers engineering design, construction planning and the detailed cost estimates that will inform the next stage of the project. The work is described as studies to define how the mill would be built and what it will cost.
The appointment confirms Generation Steel’s progression from concept toward detailed delivery planning for the Collie site. The company has previously identified the location for the proposed mill and this engagement moves the proposal into an engineering phase.
Clough is being tasked with producing the documents and price schedules used by owners and financiers to assess construction contracts, capital requirements and procurement approaches. Those outputs are typically used to refine budgets and structure tenders for major projects.
The studies will also set out construction sequencing and likely contractor interfaces, information that is needed before any final investment decision. Accurate design and pricing are expected to be central to funding discussions and any contracting strategy.
Generation Steel and Clough have not released a timeline for completion of the studies or for a final investment decision, and no construction start date has been announced. The engagement does, however, represent an important planning milestone for a project budgeted at $850 million.
The Collie location has been the focus of several industrial and energy projects in recent years because of its existing industrial land and access to transport networks. The detailed engineering work will indicate more precisely the local supply chain and workforce needs associated with building the mill.
Clough’s role will include setting the capital estimate that underpins procurement and financing conversations. That estimate will be critical for any lender or investor assessing the project’s viability.
After the completion of Clough’s studies, Generation Steel will have the information needed to finalise procurement pathways and to approach potential construction partners and financiers. Those steps are commonly required before contracts are signed and site works begin.
The engagement of a major engineering contractor is one of the standard steps in moving an industrial proposal from planning to construction readiness, and it places the Collie steel mill a step closer to a detailed delivery plan.
