Zenith Energy has executed an amendment to the power purchase agreement (PPA) it had in place with Northern Star Resources for the Jundee gold mine in Western Australia.

The new pact will see Zenith add another 6 MW of installed capacity in the power station at Jundee and bring the ASX-listed power company’s overall build own operate (BOO) capacity to more than 189 MW.

Under the amend terms of the PPA, Zenith will BOO an expanded 24 MW power station for Jundee, located in the northern Greenfields region of WA. The power station will comprise an upgrade to the existing facility with the installation of an added 6 MW of Jenbacher 620 Spark Ignittion gas generator technology.

The station incorporates natural gas fuelled generators, which will provide the Jundee mine with highly efficient, cost effective and clean gas fuelled power generation into the future, according to Zenith.

The amended PPA is expected to have a supply commencement date of the March quarter and a 10-year term aligned with the existing PPA.

Zenith Energy’s Managing Director, Hamish Moffat said: “We are delighted to sign this PPA amendment with Northern Star, which further demonstrates Zenith Energy’s ability to build strong, long-lasting relationships with Tier One clients such as Northern Star Resources through the continued delivery of excellence in safe, innovative, reliable, highly efficient and cost-effective power generation solutions to support the diverse needs of our resources clients in demanding remote locations.”

The Jundee processing circuit is a conventional CIL plant with a hard-rock processing capacity of approximately 1.35 Mt/y. The process consists of a single toggle overhead eccentric swing jaw crusher followed by a SAG and ball milling circuit incorporating gravity recovery and CIP process achieving 92% recoveries.

The company produced 285,000 oz of gold in its last financial year from Jundee.