CIMIC Group companies Sedgman and Leighton Asia have secured contracts from Hindustan Zinc Limited (HZL) to develop India’s first zinc tailings recycling facility, a project expected to generate approximately A$400 million in revenue for the group. The facility will be constructed at the Rampura Agucha Mines (RAM) in Rajasthan, India, marking a significant step in sustainable minerals processing and supporting the global energy transition.
This initiative underscores CIMIC’s strategic focus on developing sustainable infrastructure and critical minerals, aligning with global efforts towards cleaner energy technologies and advanced digital infrastructure. The project leverages the extensive experience of Sedgman in minerals processing and Leighton Asia’s proven capabilities in infrastructure delivery within India.
Sedgman, a company with over 45 years of experience in minerals processing and project delivery, will handle the engineering services and offshore equipment procurement. Since 2014, Sedgman has undertaken approximately 20 zinc-specific projects globally, building on a portfolio of over 630 studies and projects worldwide. Leighton Asia, with its established operational presence and extensive infrastructure delivery experience in India, will manage the construction and onshore procurement aspects of the project.
Juan Santamaría, Chief Executive Officer of ACS Group and HOCHTIEF, and Executive Chairman of CIMIC Group, highlighted the project’s significance in demonstrating the group’s commitment to the energy transition. He noted that modern tailings reprocessing techniques allow for the recovery of essential minerals vital for clean energy and digital infrastructure. Grant Fraser, Managing Director of Sedgman, emphasized the company’s role in extracting critical minerals from waste materials through a circular economy model, providing essential supplies for the clean energy transition. Brad Davey, Managing Director of Leighton Asia, pointed out that the project will create employment and procurement opportunities for local communities, integrating international expertise with local knowledge to advance mining infrastructure in India.
Arun Misra, Chief Executive Officer of Hindustan Zinc Limited, framed the project as a fundamental shift in mining practices, moving from a focus on extraction volume to intelligent resource utilization and from linear consumption to circular value creation. He stated that establishing India’s first large-scale zinc tailings recycling facility demonstrates how legacy resources can be transformed into future supply sources, thereby strengthening India’s critical minerals security. The collaboration, according to Misra, combines technological advancement with delivery excellence, setting new benchmarks for responsible mining.
The contracts awarded to Sedgman and Leighton Asia are projected to generate approximately A$400 million in revenue for the CIMIC Group. This revenue figure was confirmed by CIMIC, stating that the Hindustan Zinc tailings recycling contracts will generate approximately A$400 million in revenue for the group [im-mining.com/2026/01/23/cimic-group-companies-awarded-contracts-for-hindustan-zinc-tailing-recycling-project-in-india/].
The project at Rampura Agucha Mines is designed to reprocess existing tailings, which are the waste materials left over from the primary extraction and processing of ore. Historically, these tailings have been stored in large impoundments. Advancements in reprocessing technology now allow for the recovery of valuable minerals that were not economically viable or technically feasible to extract with older methods. This approach recovers critical minerals while reducing the environmental footprint associated with traditional mining by repurposing waste materials.
Sedgman’s role involves providing the engineering design for the recycling facility and managing the procurement of equipment from international suppliers. Their extensive experience in designing and delivering minerals processing plants, particularly in the zinc sector, is crucial for this complex undertaking. The company’s track record includes over 630 studies and projects globally, with significant focus on zinc operations since 2014, demonstrating specialized expertise relevant to Hindustan Zinc’s needs.
Leighton Asia’s responsibilities encompass the construction management and onshore procurement of materials and services within India. Their established presence and deep understanding of the Indian construction landscape, coupled with their experience in delivering large-scale infrastructure projects, are vital for the efficient and safe execution of the facility. This dual-contract approach allows each CIMIC Group company to focus on its core strengths, ensuring coordinated and effective project delivery.
The strategic importance of this project extends beyond its immediate economic benefits. It aligns with global trends toward a circular economy, where waste is minimized and resources are reused and recycled to their maximum value. For Hindustan Zinc, it represents an opportunity to enhance resource efficiency, reduce environmental impact, and secure a more sustainable supply of critical minerals. These minerals are increasingly in demand for renewable energy technologies such as solar panels and wind turbines, electric vehicle batteries, and advanced electronics, all central to the global energy transition.
Arun Misra emphasized that this facility represents a fundamental transformation of mining practices in India. He articulated a vision where legacy resources become future supply sources, contributing to India’s self-sufficiency in critical minerals. This aligns with national objectives to bolster domestic supply chains and reduce reliance on imports for essential materials. The project is expected to create a blueprint for similar initiatives across India and potentially other regions facing similar resource management challenges.
The collaboration between Hindustan Zinc, Sedgman, and Leighton Asia combines HZL’s operational context and resource base with Sedgman’s technical processing expertise and Leighton Asia’s construction and project management capabilities. This integration of skills and experience is intended to establish new benchmarks for responsible and efficient mining operations.
The A$400 million revenue generated from these contracts for CIMIC Group signifies a substantial commercial undertaking. This revenue stream results from the services provided by Sedgman and Leighton Asia in engineering, procurement, and construction management for the tailings recycling facility. The financial scale underscores the project’s complexity and importance to CIMIC’s business portfolio, particularly within its strategy to support the development of critical minerals and sustainable infrastructure.
The development of India’s first zinc tailings recycling facility addresses both environmental concerns and the growing global demand for critical minerals. By repurposing waste materials, the project exemplifies a forward-thinking approach to resource management, contributing to a more sustainable and circular economy while supporting the infrastructure necessary for the global energy transition. The successful execution of this project is anticipated to have far-reaching implications for the mining industry in India and beyond, setting a precedent for how legacy resources can be leveraged to meet future demands.
Sources
- https://im-mining.com/2026/01/23/cimic-group-companies-awarded-contracts-for-hindustan-zinc-tailing-recycling-project-in-india/
