The full redevelopment and repurposing of Maritana Minerals' Black Swan processing hub (BSPH) near Kalgoorlie is in full swing, with engineering contractor GR Engineering Services on site and early works now in full swing.
The company says demolition, earthworks and detailed engineering are all progressing as it targets first gold production in the second half of next year. The Black Swan plant refurbishment is central to Maritana’s ambitions of becoming a 100,000-ounce-per-annum gold producer.
The company says its golden plan hinges on creating a central processing hub to treat ore from a suite of its satellite deposits scattered across the company's vast 1167-square-kilometre landholding, almost all within a 100km radius of Kalgoorlie.
The plans are fast giving way to some serious action on the ground at Black Swan, with the bulk of earthworks contracts now awarded, including preparation of the ground for the run-of-mine (ROM) pad, the carbon-in-leach circuit and other supporting infrastructure.
In parallel, demolition and clearing works are underway in the primary crushing area to prepare for the refurbishment and construction of the fresh new circuit.
With a growing workforce on site, Maritana says it has also moved to expand its revamped accommodation digs to add extra capacity. A first-stage construction camp has been running since early August and a 57-room second-stage expansion camp is now complete. The contract for a permanent 60-room workers village, which is scalable to 120 rooms, has also been awarded and is expected to be operational by January next year.
To cater for the increased workforce, new wet and dry mess facilities, a laundry, outdoor BBQ area and a gym have also been installed.
Eager to de-risk its ambitious construction timeline, Maritana has moved to buy all of its long-lead items, with procurement running in parallel with detailed engineering work. Key items already on the shopping list include the pre-leach thickener and replacement SAG and ball mill motors, with the company eager to lock up any highly sought-after equipment while the yellow metal continues to fetch a wallet-fattening $6050 an ounce.
Underpinning the aggressive development timeline is a formidable balance sheet. Following a successful $175 million placement back in February, the company's coffers have swelled to a whopping $229 million as at the end of the financial year, giving it the bulletproof kitty needed to bring Black Swan back into production.
With the earthworks underway at Black Swan, a full treasury and gold trading near record highs, Maritana is no longer talking about becoming a producer – it's building one.
Is your ASX-listed company doing something interesting? Contact: matt.birney@businessnews.com.au
By Andrew Todd
