The EPC contract comprises construction, installation and commissioning of a new two million tonne per annum mineral processing plant and supporting infrastructure.
It is valued at US$17.65 million and based on a 12-month delivery schedule to first production, which is in line with the definitive feasibility study (DFS) estimate issued in October 2017.
The Fungoni design is based on modular relocatable infrastructure, with modern processing technology which can be re-used at Strandline's other mineral sands assets in Tanzania.
Strandline managing director Luke Graham said securing this major execution contract for Fungoni with an experienced international EPC contractor marked another milestone in Strandline's strategy to become a low-cost mineral sands producer in the near-term.
"GRES has partnered with Strandline through the feasibility stage of the project and has committed to deliver a high-quality beneficiation and mineral separation facility, designed to produce world-class zircon and titanium products," Graham said.
"With key project approvals already in place for Fungoni and 100% of product contracted under offtake, Strandline's major focus is now on advancing project funding."
