Two subsidiaries of CIMIC Group, Sedgman and Leighton Asia, have been awarded contracts by Hindustan Zinc Limited (HZL) to develop India’s first zinc tailings recycling facility. The project, located at Rampura Agucha Mines (RAM) in Rajasthan, India, aims to transform legacy resources into future supply sources and strengthen India’s critical minerals security. This initiative marks a significant step in HZL’s strategy to move from extraction-focused mining to optimization and from linear consumption to circular value creation systems.
The contracts, collectively valued at approximately A$400 million (US$274 million), leverage the distinct expertise of each CIMIC entity. Sedgman will be responsible for engineering services and offshore equipment procurement, while Leighton Asia will manage construction and onshore procurement. This collaboration underscores CIMIC Group’s commitment to supporting the global energy transition through sustainable infrastructure development and critical minerals production.
Hindustan Zinc Limited, the world’s largest integrated zinc producer and a top-five global silver producer, is spearheading this pioneering project. The facility’s development aligns with a broader strategic shift in the mining industry, emphasizing the intelligent utilization of existing resources rather than solely focusing on volume. This approach is crucial for recovering essential minerals that underpin clean energy technologies and digital infrastructure.
Sedgman, with over 45 years of experience in minerals processing, will deliver engineering services and offshore equipment procurement under an offshore contract [im-mining.com/2026/01/23/cimic-group-companies-awarded-contracts-for-hindustan-zinc-tailing-recycling-project-in-india/]. The company has completed more than 630 studies and projects globally, with approximately 20 focused on zinc operations since 2014. Grant Fraser, Managing Director of Sedgman, highlighted the company’s commitment to a circular economy model for minerals, emphasizing the extraction of critical minerals from waste materials to support the clean energy transition. He noted that Sedgman’s technical expertise, project delivery experience, and operational knowledge enable value creation for clients while promoting sustainable extraction practices.
Leighton Asia, an established player in India’s infrastructure development sector, will manage construction and onshore procurement under its separate contract [im-mining.com/2026/01/23/cimic-group-companies-awarded-contracts-for-hindustan-zinc-tailing-recycling-project-in-india/]. Brad Davey, Managing Director of Leighton Asia, emphasized the company’s strategy of integrating international experience with localized knowledge to advance mining infrastructure in India and support regional development. The project is also expected to generate employment opportunities and procurement possibilities for local communities.
Juan Santamaría, Chief Executive Officer of ACS Group and HOCHTIEF, and Executive Chairman of CIMIC Group, commented on the project’s significance, stating that it showcases Sedgman’s minerals processing prowess and Leighton Asia’s infrastructure delivery capabilities. He reiterated that the initiative aligns with CIMIC’s strategic goals for critical minerals and the energy transition, noting that modern tailings reprocessing methods can unlock vital minerals for clean energy and digital advancements.
Arun Misra, Chief Executive Officer of Hindustan Zinc Limited, described the project as a fundamental transformation in mining practices. He emphasized that the facility’s global scale will serve as a model for how legacy resources can be re-engineered into future supply sources, thereby enhancing India’s critical minerals security. Misra highlighted the synergy between Sedgman’s global processing capabilities and Leighton Asia’s execution expertise, which together set new benchmarks for responsible mining.
The development of this tailings recycling facility is a key component of Hindustan Zinc’s broader sustainability agenda. By reprocessing existing tailings, HZL aims to reduce its environmental footprint, conserve natural resources, and extract valuable metals that are increasingly in demand for renewable energy technologies and advanced electronics. This circular economy approach maximizes the value derived from existing mining operations while minimizing the need for new resource extraction, contributing to a more sustainable future for the mining industry.
The project’s success depends on the effective integration of advanced processing technologies and robust construction management. Sedgman’s role in providing engineering services and sourcing specialized equipment from international markets is critical for the facility’s operational efficiency. Leighton Asia’s expertise in managing complex construction projects within the Indian context will ensure timely and safe execution. The collaboration between these two CIMIC entities, backed by HZL’s strategic vision, is poised to establish a new paradigm for resource management in the mining sector.
Sources
- https://im-mining.com/2026/01/23/cimic-group-companies-awarded-contracts-for-hindustan-zinc-tailing-recycling-project-in-india/
