Tag Archives: Primero Group

Primero gets the nod for process plant work at Core’s Finniss lithium project

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Primero Group has been conditionally awarded a multi-year build-own operate (BOO) and operations and maintenance (O&M) contract with Core Lithium at the Finniss project, near Darwin in the Northern Territory of Australia.

In addition to this, Primero has also secured recent early contractor involvement (ECI) contract wins with Agrimin Ltd (Mackay sulphate of potash project) and Hazer Group (hydrogen commercial demo plant), both of which deliver strong follow-on potential for large-scale engineering procurement and construction (EPC) contract roles, the company says.

The agreement with Core, worth around A$100 million ($69.9 million) at Finniss, follows the company being named preferred EPC contractor status early this year. The contract also offers the opportunity for extension after the initial four-year term, Primero said.

Furthering Primero’s partnering contract model, the preferred contractor status has been extended to include conditional award of Primero’s first BOO contract for the crushing and screening circuit, the EPC and the complete O&M for the processing facility, Primero said.

Core’s development of Finniss is initially centred on production from the high-grade Grants deposit as an open-pit mining operation and construction of a 1 Mt/y dense media separation process plant to produce a 5% Li2O spodumene concentrate for export.

The prefeasibility study on the project envisaged a total capex of A$53.55 million and A$168 million in free cash generation over a period of 26 months based on a price of $649/t for its concentrate.

Primero Managing Director, Cameron Henry, said: “Primero is continuing to build a strong foundation and reputation for delivery. Current revenue run rates demonstrate our ability to concurrently manage growth and deliver on multiple projects, across various Australian and global jurisdictions. Our existing client relationships, and the repeat nature of large amounts of our business, provide a strong platform from which to drive and achieve our strategic goals.”

Primero starts engineering process plant for Agrimin’s Mackay SOP project

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ASX-listed Agrimin has awarded Primero Group the engineering design contract for the process plant at the Mackay potash project, in Western Australia.

With Agrimin’s process consultants at Novopro Projects having already completed the process modelling and flowsheets for the definitive feasibility study at Mackay, Primero has commenced the engineering design for the plant.

A prefeasibility study for Mackay, 785 km south of the Port of Wyndham, envisaged the process plant having a capacity of 426,000 t/y of sulphate of potash (SOP) as a dry granular product, with the same study assuming a product mix of 50% granular and 50% standard product.

The engagement of Primero, a multi-disciplinary engineering group which specialises in the design, construction and commissioning of global resource projects, is on an early contractor involvement basis, with the initial awarded stage being the process plant design works.

“This engagement follows a competitive process to select a contractor with suitable experience and capabilities to undertake both the engineering design and subsequent construction of the process plant and associated site based non-process infrastructure,” Agrimin said.

The 2018 PFS outlined a 20 year project at Mackay that came with a $409 million capital cost and an average SOP grade of 8 kg/cu.m.

Primero, Qube and Lucas TCS named contractors at Core’s Finniss lithium project

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Australia-based Core Lithium has awarded preferred contractor status for three key components of its 100%-owned Finniss lithium project, near Darwin in the Northern Territory.

The three contractors are key participants in the development team Core is assembling following the granting of the first mining licence earlier this month, it said.

Primero Group has been named the preferred engineering procurement and construction (EPC), and front-end engineering and design (FEED) contractor. Primero has worked on several Australia hard-rock lithium projects including Pilbara Minerals’ Pilgangoora operation and Tawana/Alliance’s Bald Hill mine.

Meanwhile, Qube Bulk Pty has received the status of preferred provider of haulage and transport solutions for Finniss, with Lucas Total Contract Solutions selected as preferred mining services contractor.

Core said it would work with all three companies to finalise contract terms that “reflect the most cost-effective and time-efficient solution for Finniss”.

The FEED study by Primero is underway to improve the accuracy of the EPC estimate on the 1 Mt/y processing plant and associated infrastructure at Finniss, the company said.

In line with its construction schedule, Core is targeting first production of spodumene concentrate from Finniss by the end of 2019.

Core’s Managing Director, Stephen Biggins, said: “These key contract roles are crucial for the success of the Finniss lithium project, so we did not make our decisions on who should be awarded these packages of work lightly. We believe we have selected the best contractors for the respective contracts out a field of worthy contractors, and look forward to working with Primero, Lucas TCS and Qube once the contracts have been finalised and the next phases of work at Finniss get underway.”

He added that final award of the contracts would follow the completion and release of a definitive feasibility study on Finniss, in addition to financing of the project.

Core’s development of Finniss is initially centred on production from the high-grade Grants deposit as an open-pit mining operation and construction of a 1 Mt/y dense media separation process plant to produce a 5% Li2O spodumene concentrate for export.

The prefeasibility study on the project envisaged a total capex of A$53.55 million ($38 million) and A$168 million (pre-tax) in free cash generation over a period of 26 months based on a price of $649/t for its concentrate.

Primero chasing battery materials work after ASX debut

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Multi-disciplinary engineering company Primero Group has tapped investors for A$25 million as part of its listing on the Australian Securities Exchange.

The company, which has previously carried out work for the likes of Rio Tinto, CITIC Pacific Mining, PT Bumi Suksesindo and Resolute Mining, debuted on the ASX on Monday.

Primero has recently carried out early-stage works on Tawana Resources’ Bald hill lithium mine in Western Australia, a project that moved from maiden resource to concentrate production in nine months.

Its expertise was also sought by Northern Minerals, when it contracted Primero to construct the hydromet pilot plant (pictured, in construction) and heavy rare earth mine at the Browns Range project in the Tanami region of both Western Australia and Northern Territory.

Currently capitalised at just over A$59 million, the company carries out engineering consulting for feasibility studies and project development, detailed design, project management and construction, project operations, maintenance, enhancement and support, and project retirement.

It sees the battery materials sector, in particular, as one potential growth opportunity.

“Primero is well placed to capitalise on future battery materials work in Australia and overseas given its specialist expertise and credentials,” the company said.

In addition to working with Tawana and Northern Minerals in this space, the company has also been contracted by Pilbara Minerals (Pilgangoora lithium project) and Galaxy Resources (Mt Cattlin lithium project).

“The company believes that development projects within this sector will form a key part of its future
project pipeline,” Primero said.