Integra Mining has selected GR Engineering Services as its preferred contractor for the refurbishment and commissioning of a processing plant for the $64 million Randalls gold project.
The announcement is below:
Integra Mining Limited (ASX: IGR- "Integra") is pleased to announce that GR Engineering Services (GRES) has been selected as preferred contractor for the refurbishment, construction and commissioning of the Randalls Gold Project Salt Creek processing plant.
The tendering process has been on a Guaranteed Maximum Price (GMP) basis for all components other than the refurbishment of existing major components such as the crushers and ball mills. The successful tender price is consistent with the cost estimated in the Feasibility Study for the Randalls Gold Project.
The variable component of the contract is expected to be in the order of $2.5M. IGR and GRES will commence inspection of these components in the near future in order more accurately estimate these variable costs. A GMP allows for the price of the process plant construction to be fixed with the two parties sharing in any cost underruns.
The regulatory approvals process for commencement of the project is well underway and earthworks are due to commence in November 2009 with commissioning in July 2010, subject to no delays.
GR Engineering Services are a well respected local company whose core business involves the design and construction of Mineral Processing plants.
Recently completed projects include the Higginsville process plant for Avoca Resources Limited and GRES is currently constructing the Edna May process plant for Catalpa Resources limited.
