PERTH (miningweekly.com) – Mineral sands developer Strandline Resources has awarded a A$23-million contract to civil and mining contractor Macmahon for the construction of road access and bulk earthworks at the Coburn project, in Western Australia.
The scope of the work will include the construction of a 43-km bitumen sealed access road connecting the mine with the North West coastal highway, and the installation of other site roads, bulk earthworks pads, dams and drainage associated with the mine and process infrastructure.
Strandline MD Luke Graham said that the contract marked another key step towards the start of construction at Coburn, and was completed as one of the debt finance conditions precedent, following the completion of sufficient detailed design and a competitive tender process.
“This commercial milestone is the first of a series of material project contracts to be awarded as part of project financing in preparation for construction and financial close. We are pleased to further our relationship with Macmahon and look forward to delivering the construction work safely, on time and budget.”
Located 240 km north of Geraldton, the Coburn project has ore reserves of 523-million tonnes and an initial mine life of 22.5 years at a planned average mining rate of 23.4-million tonnes a year.
Products from the development will be used globally in items including ceramic tiles, refractory, paint, titanium metal and welding rod applications. First production is expected within 18 months of the start of project construction.