Western Australian engineering and construction company Civmec has secured the contract to build Alcoa's new gallium processing facility at its Wagerup alumina refinery, south of Perth.

The project forms part of efforts by Australia, Japan and the United States to establish alternative supplies of gallium, a critical mineral used in semiconductor manufacturing, telecommunications and defence technology.

Alcoa approved the Wagerup gallium project in July 2026, with an official groundbreaking ceremony held the following month.

Under the contract, Henderson-based Civmec will construct the processing facilities, laboratory, storage tanks and associated infrastructure. The company will also assist Alcoa during the commissioning process.

Construction is expected to support up to 200 local jobs, with approximately 20 permanent positions anticipated once the facility becomes operational.

The value of Civmec's Wagerup contract has not been disclosed, although it forms part of more than $220 million in recently awarded contracts and extensions secured by the company.

The additional work has increased Civmec's order book to approximately $1.5 billion, with the projects expected to be delivered across the 2026–27 and 2027–28 financial years.

Other contracts include bulk cargo terminal works at Glencore's Murrin Murrin operations and maintenance work supported by Civmec's Port Hedland and Gladstone facilities.

The Wagerup project continues Civmec's existing relationship with Alcoa, which has included refinery maintenance and the construction of equipment used for handling bulk materials.

Civmec is also involved in other critical minerals developments in Western Australia, including construction work at Iluka Resources' rare earths refinery at Eneabba.

The company's financial results for the year ending June 2026 recorded an 11.4 per cent increase in revenue to $903 million, while net profit increased 22.5 per cent to $52.1 million.

Despite the improved financial performance, Civmec reported negative operating cash flow of $23.1 million, which it attributed to increased working capital requirements associated with its growing workload.

The Wagerup development is intended to establish a new source of gallium in Western Australia and contribute to international efforts to reduce reliance on existing suppliers of the mineral.