Liontown Resources has executed an Engineering, Procurement and Construction (EPC) contract with GR Engineering Services (GRES) for the delivery and commissioning of the paste plant facility to support the hard rock lithium underground mining operations at Kathleen Valley. The Paste Plant will include two trains capable of producing up to 160 m3 of paste per hour and has been designed to accommodate future expansion of mining operations to 4 Mt/y.

Delivery of cemented paste fill is an integral part of the underground mining cycle at Kathleen Valley, maximising recovery of the underground orebody and planned production rates, as well as reducing the size of the surface tailings dam that would otherwise be required. The Paste Plant has also been designed to facilitate dry stacking and water recovery, further increasing the amount of recycled water the site utilises.

The EPC is a standalone project, with the second train brought forward to provide latent capacity to derisk underground mining operations, enable water recovery and to capture cost economies associated with constructing the two trains together. Valued at approximately A$71 million, the EPC forms part of planned and budgeted next stage of growth capital costs post first production and funding is contemplated under the recently announced A$550 million financing facility. GRES has progressed the design, procurement and initial site works under an early works agreement to ensure timely delivery of the Paste Plant.

Commenting on the EPC award, Liontown Managing Director and CEO, Tony Ottaviano, said: “We are pleased to award the contract for the design and construction of the Paste Plant which will support and further de-risk the planned underground production rates at Kathleen Valley. GRES has designed and constructed multiple paste plant facilities throughout Western Australia and the GRES team has mobilised and commenced initial works at Kathleen Valley.”