Cyclone latest factor in Fortescue delays

<p>Fortescue Metals Group’s rail construction program was already behind schedule before Cyclone George hit on March 9, the company’s February construction report reveals.</p> <p>Fortescue’s report maintained that the $3.2bn project was on track, assisted in part by the fact its port facility construction and dredging work was running ahead of schedule.</p> <p>But while the overall project was on track, productivity issues and accommodation constraints were delaying its rail construction and affecting the company’s schedule.</p> <p>The report said that Fortescue was looking to accelerate drill, blast and fill operations, which had fallen behind schedule.</p> <p>Limited accommodation also affected mining operations.</p> <p>Cyclone George devastated Fortescue’s rail construction operations when it hit accommodation camps about 100 km south of Port Hedland on March 9.</p> <p>Two Fortescue employees were killed, and four remained in hospital late last week.</p> <p>Construction of the 260 km rail link is yet to resume because the contractors have not been able to return to the accommodation.</p> <p>"The timing of remobilisation has not yet been confirmed however, it is expected that workers will move back into rail camp 2 by the end of March," Fortescue said.</p> <p>Construction at its Cloud Break mine would ramp up to full capacity in two to three weeks. </p> <p>The first iron ore shipment is due to occur in the first quarter of 2008.</p> <p>Meanwhile, Pilbara port authorities were watching Cyclone Kara, a category three system, which was about 230 miles northwest of Karratha late this morning (Monday, March 26).</p> <p>The Bureau of Meteorology forecasts that the cyclone could cross the Pilbara coast between Karratha and Port Hedland as a category one by Wednesday. </p> <p>Gale force winds and rough seas are expected. </p> <br />