PROCESSING

GR Engineering wins Woodlark EPC contract

Geopacific Resources has awarded the EPC contract for Woodlark to GR Engineering

Staff reporter

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The Woodlark gold project is located on an island in the Milne Bay province of Papua New Guinea. The processing plant will be constructed between the Kulumadau and Busai pits, which are approximately 4km apart.

A conditional letter of intent has been signed relating to the 2.4Mt/y carbon-in-leach (CIL) treatment facility, tailings line and other supporting infrastructure.

The company has selected an EPC contracting structure to de-risk the largest component of the capital expenditure requirement. Other remaining establishment capital costs also include site-based infrastructure and a mining fleet.

In the meantime, Geopacific may instruct GR Engineering to commence an early works programme to procure tenders and pre-order long lead time items such as the semi-autogenous grinding (SAG) and ball mills.

Ron Heeks, managing director of Geopacific, said: "Signing a letter of intent with GR Engineering marks another major milestone in the development of the 1.6Moz Woodlark gold project. The company is on track to deliver gold production in a timely and cost-efficient manner.

"GR Engineering has a strong reputation in successfully designing and constructing processing plants on time for a guaranteed maximum price. Geopacific is confident that their recent experience in PNG and strong track record in constructing similar projects will greatly de-risk the construction of Woodlark.

"We look forward to finalising the EPC contract, and advancing the development of Woodlark."

Geoff Jones, manging director of GR Engineering, commented: "GR Engineering is pleased to have received the letter of intent and to have been selected by Geopacific as the preferred tenderer for the delivery of the Woodlark gold project. Our clients are increasingly seeking certainty and a track record of performance and GR Engineering has been able to demonstrate this to Woodlark, including by reference to its successful project outcomes in the turnkey design and construction of mineral processing plants in the gold sector. We look forward to working with the Geopacific team on the project as it progresses towards development."

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