Tag Archives: Kirkalocka

Mitchell Services enters new drill and blast territory at Kirkalocka

Australia-listed Mitchell Services has entered the drill and blast production drilling market with the award of a new contract at Adaman Resources’ Kirklalocka gold project in Western Australia.

The circa-A$33 million ($23 million), five-year contract, with mining services provider SMS Innovative Mining Pty, will see Mitchell initially deploy two rigs to service the drill and blast contract with a third rig to be provided in late 2019.

Mitchell Services CEO, Andrew Elf, said: “The multi-year, multi-rig contract award further strengthens the quality of our revenue base and will result in the company now playing a direct role in the production of the mine. This is a service offering that we are strategically focused on growing and the award of this contract provides an ideal platform to do so. It also continues to expand our footprint within Western Australia adding both service and geographic diversification.”

Mitchell Group Holdings, an entity associated with Mitchell Services Executive Chairman, Nathan Mitchell, owns a 33% stake in the Kirklalocka gold project, with SMS Mining Services owning another 33%.

Back in October, SMS Mining Services secured preferred contractor status for Kirkalocka, with the four-year contract consisting of open-pit mining services including load and haul, drill and blast, and mine development. SMS said at the time drilling was underway to extend the mine life beyond the current six years.

Since then, MACA has won a contract to install a new SAG mill and refurbish an existing mineral processing plant at Kirkalocka.

MACA to refurbish Adaman’s Kirkalocka gold project in Western Australia

Contractor MACA has wrapped up a strong year with a contract award from Adaman Resources at its Kirklalocka gold project near Mt Magnet in Western Australia.

The contract, secured through its subsidiary MACA Interquip, includes installation of a new SAG mill and refurbishment of an existing mineral processing plant at Kirkalocka. MACA expects to book some A$28 million ($20.2 million) for the works, which will commence in February with a duration of eight months. Some 40 personnel are expected to be required.

MACA said the contract award follows early involvement with the Adaman management team, enabling advancement in the design process and the submission of long-lead items. Commencement of the project remains subject to finalisation of Adaman’s project finance documentation.

Operations Director Geoff Baker said MACA Interquip has an excellent record of successful refurbishment delivery, hence the contract award.

“Our alliance with NCP International, who manufacture grinding mills and install complete comminution circuits globally, as an installation partner, will provide MACA Interquip with further exposure as an integrated mineral processing supplier,” he said.

“The recent contract awards for MACA Interquip demonstrates the success of the MACA strategy to diversify its services within the resource industry.”

This new contract ensures a strong order book for MACA Interquip for 2019 when added to the letter of intent for the refurbishment of the gold processing plant for Echo Resources. Other recent and ongoing work on processing plants includes the Savannah nickel project for Panoramic Resources (pictured) and the Degrussa copper project for Sandfire Resources.

Back in October, SMS Mining Services, which owns a 33% stake in Adaman, secured preferred contractor status for Kirkalocka, with the four-year contract consisting of open-pit mining services including load and haul, drill and blast, and mine development. SMS said at the time drilling was underway to extend the mine life beyond the current six years.