Gascoyne Resources has officially awarded GR Engineering Services (GRES) with the engineering, procurement and construction (EPC) contract for the design and construction of the mineral processing plant at the Dalgaranga Gold Project in Western Australia.
The contract was secured on a guaranteed maximum price (GMP) basis, with a total amount of approximately $66.5 million.
GRES has already commenced work on the 2.5Mtpa mineral processing plant as well as associated infrastructure for the project, which is located in the Murchison gold mining region. The company will continue engineering design as well as procurement activities until Gascoyne grants site access – expected in August 2017 – once preliminary earthworks have sufficiently progressed in order to allow construction to begin.
Ore commissioning is expected to begin in the second quarter of 2018.
“We are pleased to have entered into the EPC Contract with GR Engineering, which has already commenced activities to bring the 100% owned Dalgaranga Gold Project into production in the second quarter of 2018. To have such a highly regarded construction firm as GR Engineering undertaking the build on a GMP basis, ensures that the project will not only be built on budget, but with the highest degree of safety and also in a timely manner. We look forward to working with GR Engineering to deliver a safe and successful project for our shareholders,” Gascoyne Managing Director Mike Dunbar said.
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