Bardoc Gold has named GR Engineering Services as preferred contractor to construct the processing plant for its namesake project in Western Australia.
The engineering, procurement and construction (EPC) contract is subject to board approvals, project financing and final contractual pricing.
GR Engineering is a mineral processing design and construction company which has completed similar projects across Western Australia.
Bardoc stated it will be working closely with GR Engineering to complete the optimisation work at the project which is currently underway.
According to Bardoc, it will reach a final investment decision for the project before the end of the year.
Bardoc chief executive officer Robert Ryan said the decision to choose Bardoc demonstrates the progress the company has made toward advancing the project.
“Bardoc is moving rapidly towards the development of a new high-quality, high-margin gold project near Kalgoorlie,” Ryan said.
The competitive EPC tender process has drawn a number of quality submissions, reflecting the rapid progression of the Bardoc gold project and the high-quality work completed as part of the DFS (definitive feasibility study).
“The appointment of GR Engineering marks another key step in the development of the project and establishes an important relationship with a leading design and construction group,” Ryan said.
“We look forward to working with the (GR Engineering) team over the coming weeks and months.”
The Bardoc gold project is a 3.07-million-ounce resource and has potential to increase production within its first five years.
The current DFS forecasts 130,000 ounces of gold per annum at an all-in sustaining cost of $1188 per ounce.
GR Engineering was recently awarded a $101 million EPC contract for Northern Star Resources’ Thunderbox six-million-tonne-per-annum expansion project in Western Australia which is currently underway.
The contractor has also worked with other Australian gold mining companies including Newmont, OZ Minerals and Pantoro.