Tag Archives: construction

Orefields Raise Boring, Cementation Canada to collaborate on mining project delivery in Scandinavia

Sweden-based Orefields Raise Boring AB has established a Memorandum of Understanding (MoU) with Cementation Canada Inc that could see the two companies collaborate on projects in Scandinavia going forward.

Cementation, a global mine development contractor, complements Orefield’s’ mining services, which include pilot drilling, raiseboring, down-reaming, horizontal raiseboring and casting/grouting, it says, offering capability and experience to engineer and sink shafts, drive decline ramps, lateral development, production mining and mine construction to access and mine orebodies.

Additionally, the team’s offerings include full in-house engineering and design-supply services for crushing/screening and conveying systems that condition and deliver run-of-mine ore to the processing facility.

In addition to introducing expanded capabilities beneficial to the broader Scandinavian Region, the Orefields + Cementation Tier 1 Team bring innovative delivery model alternatives that reduce risk for the mine owner when compared with the conventional engineering procuement and construction (EPC) or design-bid-build approaches, they say.

For example, creative risk-reducing alternatives include:

  • Design-build-operate/maintain (DBOM)
    • DBOM + system ownership
    • Following an agreed period of operation, option to transfer ownership
    • Owner’s mine build & mining partner

Cementation explained: “Over the life of the facility, operations and maintenance expenses often far exceed the initial cost to design and build systems. Consequently, the design and construction of the system significantly impacts operational reliability and the resultant costs that accumulate over the years. Our DBOM approach, being performed by a single accountable venture, reduces risk inherent in spreading work packages between different organisations (as with EPC or design-bid-build approaches, for example). Simply put, the principle behind the DBOM delivery model is that we ‘pack our own parachute’, so we make sure it is done right from the beginning through to deployment.”

With this partnership specifically being established in Sweden for the benefit and added value to the Scandinavian Region, technical and professional labour resources, as well as the supply of materials, equipment and fabrication/construction, will be procured in the local regions where possible. Depending on the availability of qualified Scandinavian-based resources, secondary preference will be given to other European Region countries.

GR Engineering wins Mt Ida EPC contract from Aurenne Alt Resources

GR Engineering Services says it has executed an engineering, procurement and construction (EPC) contract with Aurenne Alt Resources Pty Ltd in relation to the Mt Ida gold project in Western Australia.

Mt Ida, which Aurenne inherited with the acquisition of Alt Resources last year, is in the eastern goldfields of the state.

GR Engineering said the contract sum is approximately A$73 million ($54 million) and work is expected to start immediately.

Geoff Jones, Managing Director of GR Engineering, said: “GR Engineering is pleased to have been awarded the EPC contract by Aurenne and we look forward to working collaboratively with the Aurenne team. This project further reinforces GR Engineering’s reputation as the leading gold EPC contractor in Australia.”

Alt Resources previously outlined the need for a 750,000 t/y processing facility at Mt Ida in a 2020 feasibility study prior to being acquired by Aurenne.

GR Engineering awarded with Abra EPC contract

GR Engineering Services has been awarded a conditional engineering, procurement and construction (EPC) contract to deliver a 1.2 Mt/y lead sulphide flotation process plant and ancillary infrastructure for Galena Mining’s Abra Base Metals project in Western Australia.

The award, worth some A$74 million ($50 million), follows work carried out by the ASX-listed engineering company on the feasibility study and at the preliminary design stage of Abra.

The work will be undertaken on a guaranteed maximum price basis, according to GR Engineering, which confirmed that the contract remained subject to GR Engineering being issued with a full notice to proceed. This is dependent on Abra Mining Pty, Galena’s operating subsidiary, achieving financial close on its proposed project financing facilities. Galena, which owns 86.16% of the project through Abra, has said it will require A$170 million of pre-development capex to get the mine up and running.

GR Engineering has already commenced early engineering works up to an agreed capped amount, it said.

Geoff Jones, Managing Director of GR Engineering, said: “We are pleased to have been awarded the contract for the delivery of the Abra Base Metals project, which has followed GR Engineering’s involvement to date in the project’s feasibility study and preliminary design work.”

Galena completed a definitive feasibility study on Abra last year for development of a mine and processing facility with a 16-year life producing a high-value, high-grade lead-silver concentrate containing around 95,000 t/y of lead and 805,000 oz/y of silver after ramp-up.

Earlier this month, the construction of the Abra box cut commenced (pictured).