GR Engineering Services has won a $10.8 million contract from Ora Banda Mining for its Davyhurst restart project in Western Australia.
The engineering, procurement and construction (EPC) contract will see GR Engineering refurbish, optimise and recommission the existing 1.2 million tonnes a year Davyhurst gold processing plant, borefields and other infrastructure.
Work will start immediately and is expected to complete in the first quarter of next year.
Ora Banda plans to commence mining at Davyhurst in the fourth quarter of this year, subject to financing arrangements.
“GR Engineering is pleased to have been awarded the EPC contract for the Davyhurst restart project,” GR Engineering managing director Geoff Jones said.
“We are excited to be working with Ora Banda’s management team and look forward to Ora Banda becoming Australia’s newest gold producer.”
Ora Banda aims to produce 418,000 ounces at the Davyhurst project over an initial five-year mine life.
The mine was placed on care and maintenance in 2018 upon the collapse of Eastern Goldfields. The company was rebranded to Ora Banda with all debts wiped out.
The Davyhurst project is 120 kilometres north-west of Kalgoorlie and contains both open cut and underground mining operations.
It produced 428,000 ounces of gold from 1980 to 2000, and an additional 152,690 ounces from 2000 to 2008.