Lycopodium secures West African Resources contract

West African Resources has awarded a contract to East Perth engineering services company Lycopodium, over works on its $430 million Kiaka gold project in Burkina Faso.

Subiaco-based West African Resources (WAF) announced on the ASX that it signed a notice of award with Lycopodium, based on the company’s proposal for engineering, procurement, and construction management of a new carbon-in-leach treatment plant at Kiaka.

Lycopodium and WAF previously worked together on the Sanbrado construction under a similar contract arrangement, according to the ASX announcement.

The contract between the two WA-based companies over works on the Kiaka gold project is expected to be finalised and signed this month.

An ASX announcement by Lycopodium said the contract was valued at about $44 million.

WAF also awarded a mill package, to supply the 18-megawatt semi-autogenous grinding mill and a nine-megawatt ball mill, to Metso Outotec.

“We are pleased to team up again with Lycopodium and Metso Outotec following our successful partnership on the construction of Sanbrado, which was completed ahead of schedule and under budget,” WAF chairman Richard Hyde said.

“We are extremely pleased with the strong interest from leading international resource financiers and their ongoing participation in the debt financing process for the 7.7Moz Kiaka gold project.”

The Kiaka project is WAF’s second gold mine, with major works expected to start by the second quarter of 2023 calendar year and the first gold estimated by 2025.