Wiluna Mining is set to appoint GR Engineering Services as contractor for its gold sulphide development in the Yilgarn Craton, Western Australia.
This follows a board approval to proceed with the stage one sulphide development including concentrator construction at Wiluna.
The company aims to complete its sulphide feasibility study this year.
It will then transition from producing 62,000 ounces from mining free milling ore to initially producing 100,000–120,000 ounces of gold and gold in concentrate.
This is targeted to increase to around 250,000 ounces a year by the end of 2023 or early 2024.
Wiluna will award the design and construction contract for the stage one of concentrator development to GR Engineering in December.
“I’m pleased to report that significant progress has occurred surrounding the sulphide development plan,” Wiluna executive chair Milan Jerkovic said.
“A significant hurdle was met when the board of directors approved the construction of the concentrator and the appointment of GR Engineering to undertake the EPC (engineering, procurement and construction) contract for construction.”
Meanwhile, underground operations continue to provide free milling feed from the Golden Age orebody to the process plant.
Wiluna has contracted Murray Engineering to supply and maintain mine fleet for current production, and Byrnecut Contractors to provide equipment and personnel for existing rehabilitation and new development for production from new mine areas.
The first development crew from Byrnecut is expected to be mobilised in the December quarter.
“We are now exactly halfway through our 24 months strategy to turn the company around,” Jerkovic said.
“The sheer size of Wiluna, which is now the seventh largest gold district under single ownership in Australia, based on JORC mineral resources, throws up challenges but nothing worthwhile comes easy and we believe the prize for shareholders of developing this project in a systematic, thorough and staged manner to become a Tier 1 asset in a Tier 1 jurisdiction will be worth it.”