Leighton In Talks With Fortescue For Contract Mining Work

Leighton Holdings Ltd. (LEI.AU) said Friday it is negotiating for mining work with iron ore producer Fortescue Metals Group Ltd. (FMG.AU), although no contract has been entered into at this stage.

The construction and mining services supplier company didn't disclose a possible value for the work, and in a statement said it would update the market when it is in a position to do so.

Fortescue, Australia's third-largest producer of iron ore after Rio Tinto PLC (RIO) and BHP Billiton Ltd. (BHP), is investing an estimated US$8.4 billion to roughly triple production to 155 million metric tons a year by mid-2013.

-By Robb M. Stewart, Dow Jones Newswires; +61 3 9292 2094; robb.stewart@dowjones.com