GR Engineering wins $155m contract

GR Engineering Services has won a $155 million contract from Evolution Mining to expand the gold miner’s processing plant near Kalgoorlie.

Ascot-based contractor GR Engineering secured the engineering, procurement and construction contract for Evolution’s Mungari processing plant expansion project.

The scope of work entails expanding the existing Mungari processing plant from 2 million tonnes per annum to an annual throughput of 4.2 mtpa.

Evolution expects the project to reduce Munagri’s all-in-sustaining cost by 18 per cent to $1,750 per ounce and extend the mine life to 2028.

It will be completed over a 30-month construction period towards commissioning by the end of the March 2026 quarter, according to Evolution.

Evolution managing director Lawrie Conway said the contract award was a major milestone for the Mungari future growth project.

“It secures the critical processing plant infrastructure within our budgeted costs, locking in over 60 per cent of the project costs and secures a delivery time within the approved project schedule,” he said.

“The feasibility study established a sound investment case with an internal rate of return for the project of between 19 per cent and 28 per cent, at a conservative $2,400 per ounce and spot price of $2,965 per ounce respectively.”

GR managing director Tony Patrizi said the team was delighted to be partnering with Evolution.

“GR Engineering has a long track record of saucerful project delivery in the mineral processing sector,” he said.

“We see this contract award as a strong endorsement of GR Engineering’s proven process design record and EPC delivery capability.”