Ausenco and Duro Felguera – big players in mining and construction engineering - have formed a new alliance.

The two companies today signed an MoU to form a global engineering, procurement and construction (EPC) partnership, saying their strategic alliance would “jointly pursue and deliver EPC projects globally and pursue market share in their sectors.”

It is not the first meeting of the two, as Duro Felguera already holds about five per cent of Ausenco.

Ausenco CEO Zimi Meka said the alliance would empower both parties to win and deliver major EPC projects.

“The alliance will leverage each party’s geographic footprint and track record of engineering expertise,” Meka said.

“Discussions with existing and prospective clients have indicated a significant shift in focus of resources sector financiers and project owners towards cost certainty.

“As the size and complexity of projects continue to grow there is an increasing demand in most sectors of our market to have projects delivered on an EPC basis.”

The two businesses have about $14 billion worth of EPC project in the pipeline already.

Duro chairman Angel del Valle says there will not be much competition between the two companies, as there is very little overlap of clients, despite a similar skills base.

“This alliance provides both companies an opportunity to grow market share across the mining, infrastructure, oil & gas, and energy markets,” del Valle said.