GR Engineering Services has been awarded an engineering, procurement and construction (EPC) contract with Yangibana Pty Ltd, a wholly owned subsidiary of Hastings Technology Metals Limited, for a beneficiation plant and associated infrastructure for the Yangibana rare earths project in Western Australia.
As previously announced on May 3, 2023, GR Engineering had entered into a binding term sheet with Yangibana Pty Ltd for these works.
The contract sum, including the provisional sum, is A$210 million ($138 million) as previously disclosed. This is made up of a fixed price component of A$180 million for the beneficiation plant and a provisional component of A$30 million mainly for the plant and tailings storage facility earthwork.
GR Engineering has commenced early works up to an agreed capped amount. The EPC contract is conditional on GR Engineering being issued with a commencement notice, which is dependent on Hastings finalising funding for the project as well as a number of other pre-conditions standard for an EPC contract.
Construction is planned to be complete in the March quarter of 2025 with first concentrate on truck in the June quarter of 2025
Under the A$210 million contract, GRES will design and construct the Yangibana beneficiation plant and all associated infrastructure, including engineering, manufacture, supply, installation, dry and wet commissioning, and testing of the facility over a period of less than 18 months. When completed, the plant will have a feed capacity of 1. 1 Mt/y and a rare earth concentrate output capacity of 37,000 t/y, Hastings says.