EPC Contract – Fungoni Mineral Sands Project

Company News

GR Engineering Services Limited (ASX:GNG) (GR Engineering) is pleased to announce that it has entered into a conditional EPC contract with Strandline Resources Limited (Strandline) for the engineering design, procurement and construction of a 2Mtpa mineral processing plant and associated facilities for the Fungoni Mineral Sands project (Contract).

The Fungoni Minerals Sands project is located approximately 25km from the Dar es Salaam port in Tanzania. GR Engineering’s scope of work under the Contract extends primarily to the design, supply, installation and commissioning of the project’s mining field unit, wet concentrator plant, tailings thickener and disposal system and mineral separation plant.

The commencement of the Contract remains subject to the satisfaction of a number of conditions precedent, to be satisfied prior to 31 March 2019 and which primarily relate to Strandline obtaining the requisite approvals and funding for project execution. The Contract price is approximately US$17.6 million.

GR Engineering managed the delivery of the definitive feasibility study for the Fungoni Minerals Sands project in 2017 and has since continued to progress work in relation to the project with Strandline. Commenting on the award of the Contract, GR Engineering’s Managing Director, Mr Geoff Jones, said: “We are pleased to continue our involvement with the Fungoni Mineral Sands project and look forward to working with Strandline as it progresses towards development. The delivery of this project provides GR Engineering with an important opportunity to obtain further exposure to a growing global market for high quality mineral sands products.”

ASX News Release 22/10/2018

Category: Company News