GR wins $US18m Strandline contract

GR Engineering Services has secured a $US17.6 million contract ($25 million) to design and build a processing plant for Strandline Resources’ Fungoni mineral sands project in Tanzania.

Under the engineering, procurement and construction contract, GR Engineering will lead construction of a 2 million tonnes per annum mineral processing plant and associated infrastructure.

GR Engineering’s scope of work under 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.

GR Engineering managed the delivery of Strandline’s definitive feasibility study for the project in 2017.

Strandline managing director Luke Graham said locking in the contract was another milestone in the development of the project.

“GRES has partnered with Strandline through the feasibility stage of the project and has committed to deliver a high-quality beneficiation and mineral separation facility, designed to produce world-class zircon and titanium products,” he said.

“With key project approvals already in place for Fungoni and 100 per cent of product contracted under offtake, Strandline’s major focus is now on advancing project funding.”

GR Engineering managing director Geoff Jones said the company was pleased to have secured the work.

“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,” he said.

Shares in GR were off 3.45 per cent at $1.26 each today while Strandline shares fell 7.14 per cent to 13 cents a share.