Gold Road Resources Ltd and Gruyere Mining Company Pty Ltd, a member of the Gold Fields Ltd group, provide an update on the construction activities at the Gruyere Gold Project, which is being developed as a 50:50 Joint Venture approximately 200 km east of Laverton in Western Australia.
The project remains on schedule for first gold in the June 2019 quarter. There has been good progress on the project’s construction during the September 2018 quarter with more than 630 workers now on site. Supportive weather conditions have allowed the Project team, EPC contractor Amec Foster Wheeler Civmec Joint Venture (ACJV), and mining services contractor Downer EDI Mining Pty Ltd (Downer) to advance Gruyere’s development to keep the project on track to produce first gold in the June 2019 quarter.
Gold Fields Executive Vice President Australasia, Stuart Mathews, said: “Construction of the Gruyere Gold Project, and preparations for the commencement of operations are progressing well, and we have welcomed the opportunity to recently showcase the quality of the Project to a broad group of stakeholders. Our own workforce, together with our contractor partners, are motivated to achieve the first gold production target next year, whilst maintaining continued focus on safety and quality.”
Gold Road Managing Director and CEO, Duncan Gibbs, said: “As the new Managing Director and CEO, I have visited and been well briefed on progress at Gruyere. It is clear from my observations and discussions with both the Gold Fields and Gold Road teams that this worldclass, longlife gold mine development will deliver significant and sustained value for our shareholders into the future. I look forward to providing future updates on Gruyere’s development as we approach the first gold production target. I also want to take this opportunity to acknowledge the transformational and, indeed, inspirational efforts of my predecessor Ian Murray in delivering Gold Road to this highly prospective phase.”
Overall project engineering and construction were 96% and 71% complete respectively, with EPC (process plant and associated infrastructure) construction 57% complete as at 30 September 2018. During the September 2018 quarter, ACJV completed the remaining concrete foundation works (approximately 21,500 cubic metres of concrete poured since start of construction) and finalised the installation of the SAG and ball mill shells, ends and trunnions. CIL steel tankage construction is complete. Construction efforts are currently focused on structural steel erection with steel fabrication nearing completion. Reticulation of the electrical cabling and piping in and around the process plant is underway. Installation of the Yeo borefield pipelines advanced with approximately 90% of the pipeline welded. Electricity to the Yeo borefield will be introduced gradually through the December 2018 quarter. Borefield commissioning is scheduled to commence early in the March 2019 quarter, aligned with the initial ore processing schedule.
MACA Ltd, which is carrying out bulk earthworks at Gruyere, has completed the first stage of the ROM pad work comprising almost 221,000 cubic metres of fill material derived from prestrip material sourced from the Gruyere pit. MACA is progressing the Tailings Storage Facility (TSF) construction focussing on installation of the liner works due for completion within the December 2018 quarter, in line with the project schedule. Testing and commissioning of the Gruyere powerhouse is progressing to plan. The 45 MW Gruyere Power Station is owned and will be operated by APA Group and is connected to the 198 km Yamarna Gas Pipeline. Installation of all power poles and lines by Powerlines Plus was completed slightly ahead of schedule. The Gruyere village is expected to be switched to mains power late in the December 2018 quarter, following completion of the powerhouse commissioning and testing and electrification of the overhead powerlines.
Downer, which in December 2017 was awarded a five year mining services contract to mine the project has completed works on the mine workshops and supporting infrastructure. Downer has begun mobilising the mining fleet and operations team for commencement of mining operations in November 2018. Mining will initially focus on completion of the prestrip and second stage ROM pad development, with first ore to be mined early in the March 2019 quarter.