SNC-Lavalin and Sinclair Knight Merz awarded contract for Rio Tinto Alcan's Boyne Smelter major sustaining projects

    MONTREAL, Aug. 21, 2008 /CNW Telbec/ - The SNC-Lavalin and Sinclair
Knight Merz Joint Venture (SSJV) has been awarded a contract worth
approximately CAN $92 million (AUD $94 million) to provide engineering,
procurement and construction management (EPCM) services for the major
sustaining projects for Rio Tinto Alcan's 550,000 tpa Boyne Smelter in
Gladstone, Queensland, Australia.
    The contract follows a detailed feasibility study completed by the Joint
Venture in December 2007.
    The scope includes the replacement of Carbon Baking Furnaces 1 and 2, as
well as the replacement of cranes and associated runways on Reduction Lines 1
and 2. The project is split 50/50 between Brownfield and Greenfield work.
    "The brownfield component involves the installation of new Cell Tending
Assemblies, together with a new alumina distribution system and runway
upgrade," said Ghyslain Deschamps, Project Manager for the SSJV. "To improve
working conditions for the crane runway upgrade, an existing crane has been
modified into a mobile work platform, part of an innovative solution to enable
personnel to complete repairs to column heads and crane clip replacement above
the cells safely."
    The greenfield component of the project involves the replacement of
Carbon Baking Furnaces 1 and 2 with a new and more efficient baking furnace
(CBF 4). The scope also includes the demolition of the existing Carbon Baking
Furnaces 1 and 2, once the new baking furnace unit is commissioned.
    "This contract is further confirmation of SNC-Lavalin's worldwide
leadership in managing large aluminum smelter projects," said Pierre Duhaime,
Executive Vice-President, SNC-Lavalin Group Inc. "We are very pleased with
this latest recognition from Rio Tinto Alcan with whom we have delivered many
successful projects over the years, and we're looking forward to delivering
this challenging project safely and successfully on Boyne Island."
    "SKM has a long history of working with the Rio Tinto group," said
Santo Rizzuto, Sinclair Knight Merz Mining and Metals General Manager. "We
have worked with Rio Tinto in iron ore, coal, copper and bauxite in Australia,
Chile, Peru and, more recently, in Guinea, West Africa, and this latest
commission demonstrates the continuing growth of our relationship."
    Work is underway with an expected completion date of Q2 2011. The
aluminum smelter will remain operational throughout the construction period.

    SNC-Lavalin (TSX: SNC) is one of the leading engineering and construction
groups in the world and a major player in the ownership of infrastructure, and
in the provision of operations and maintenance services. The SNC-Lavalin
companies have offices across Canada and in over 35 other countries around the
world and are currently working in some 100 countries.

    Sinclair Knight Merz (SKM) is a global engineering, project delivery and
sciences firm, employing 6,000 staff in 37 offices around the world. SKM
Mining and Metals is currently delivering EPCM projects, either independently
or in Joint Venture, with a total capital value of A$25 billion, as well as a
considerable number of feasibility studies.

For further information:

For further information: Media: SNC-Lavalin: Gillian MacCormack,
Vice-President, Global Public Relations, SNC-Lavalin Group Inc., (514)
393-8000, ext. 7354,; Investors: Denis
Jasmin, Vice-President, Investor Relations, SNC-Lavalin Group Inc., (514)
393-8000, ext. 7553,; Sinclair Knight Merz: Maria
Whaley, Capability Marketing Manager, SKM, +61 7 3244 7353,

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