JOHANNESBURG (miningweekly.com) – ASX-listed engineering design and construction contractor GR Engineering Services has entered into an engineering, procurement and construction (EPC) contract with Auctus Resources for the design and construction of completion works associated with the 500 000 t/y Mungana zinc, lead, copper and gold concentrator facility, in Chillagoe, Northern Queensland.
Work on this contract, which would be carried out primarily through the company’s Brisbane office, would get under way immediately and was due for completion in April 2017.
Contract revenue was expected to be about $36-million, with half that revenue expected to report to the 2017 half-year results.
“GR Engineering looks forward to working with Auctus and to establishing a long-term relationship with this first-time client through the delivery of successful outcomes for the Mungana project,” commented GR Engineering MD Geoff Jones.
He noted that the company was looking to increase its presence in Queensland, where GR Engineering was actively pursuing several contracting opportunities, adding that the award of this EPC contract was a positive step in the successful implementation of this market strategy.
Auctus executive chairperson Steve Murdoch also noted that his company looked forward to progressing the Mungana project construction phase with GR Engineering.
“We selected GR Engineering on the basis of it having a strong history in completing base metal concentrators on time and budget, and achieving required performance criteria,” he said.