Under this contract, SMS Group will undertake a comprehensive FEED process which involves the provision of all process plant equipment needed for the mine - including mine site Concentrator as well as associated TIVAN downstream processing plant, and all associated plant and equipment.
The contract also has an expanded scope that covers a fixed-price Engineering, Procurement and Construction (EPC) proposal; and the provision of production quantity, production rate and production quality guarantees to TNG Limited.
“We are extremely pleased to have achieved this outcome with SMS Group, including a comprehensive mandate to produce a fixed-price EPC proposal for the development and construction of the entire Mount Peake Project. Having SMS also assume technical and product guarantees under the resulting fixed-price EPC arrangement significantly de-risks the project and marks one of the most significant milestones [in] its development history,” TNG Limited Managing Director Paul Burton said.
SMS Group’s scope of works will comprise of designing and engineering of the entire processing flow sheet for the Mount Peake operations - including mine site concentrator that will produce magnetite concentrates and downstream processing plant that will produce high-purity and high-value vanadium pentoxide, titanium dioxide and iron oxide.
TNG Limited’s wholly-owned TIVAN hydrometallurgical process is going to be utilised at the downstream processing plant. Its scope will include a titanium pigment plant that is going to be developed in collaboration with Ti-cons - the appointed subcontractor for this part of the development.
“This keeps TNG on a clearly structured path and timeline towards incorporating its first TIVAN project in a technical and commercially convincing package, largely de-risked from a customer perspective, and provided by one single, fully responsible contractor,” SMS Group Managing Director Herbert Weissenbaeck said.
The Mount Peake Vanadium-Titanium-Iron Project is located approximately 230 kilometres north of Alice Springs and it has a mine life of about 17 years.
Earlier this year, TNG Limited has awarded two other major contracts for works at the Mount Peake operations. The first contract was awarded to the McMahon Services-Clough joint venture for engineering, procurement and construction services for the development of the mine. The second contract was awarded to Como Engineers and the company will undertake project management.
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