PERTH (miningweekly.com) – Mineral sands developer Strandline Resources has appointed fellow-listed NRW Holdings Group’s subsidiary, Primero, to build the processing facilities at its Coburn mineral sands project, in Western Australia.
The engineering, procurement and construction (EPC) contract is worth some A$135-million and is based on a lump sum contracting model.
Located 240 km north of Geraldton, the A$260-million 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.
Stradline said on Thursday that Primero’s appointment followed the completion of the funding required to develop the Coburn project through to production and cashflow.
The funding structure included debt financing from the Northern Australian Infrastructure Facility and the bond loan facility, as well as an equity raise.
The EPC contract completion is planned for the fourth quarter of 2022, with construction peaking through 2022 and some 180 site personnel employed.