A long-running controversy between two companies drew to a close in Queensland’s Cook Shire region.
Head contractor Decmil Group recently agreed to settle its pay dispute with Southern Cross Electrical Engineering (SCEE) at Rio Tinto’s Amrun Bauxite Mine in Mission River, 225km southwest of Weipa.
The two entities earlier debated whether SCEE should be paid more for allegedly completing “substantial” extra work. The subcontractor claimed it delivered well beyond the original scope of designing, supplying and constructing electrical communications, instrumentation and controls for non-processing facilities.
It also accused Decmil of poorly managing works and other subcontractors, resulting in major disruptions and delays. QMEB can reveal the original deal was worth about $6.6 million.
Both of the companies have since put the matter to rest.
“The settlement is in line with SCEE’s accounting position and the ongoing arbitration proceedings concerning this dispute will be terminated. The remaining terms of the settlement are strictly confidential and SCEE does not intend to make further comment on the matter,” Decmil and SCEE said in a joint statement.
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