GR Engineering secures $59.5m Norseman contract

Pantoro awarded the contract to GR Engineering, with the former owning a 50 per cent share in the project under a joint venture (JV) with Norseman Gold.

GR Engineering will conduct engineering, procurement and construction (EPC) of the site’s processing plant.

GR Engineering managing director Geoff Jones said the company had worked alongside Pantoro to finalise the contract for two months, when the former first received a letter of intent from the latter on February 10 2021.

“GR Engineering is pleased to have been awarded the EPC contract for the project. We have worked collaboratively with Pantoro over the past two months and look forward to continuing to engage closely with Pantoro to deliver safe and successful outcomes for the project,” he said.

“GR Engineering continues to build its contracted pipeline of work across a diverse commodity base and increase its revenue and earnings visibility for FY22 (2022 financial year).”

Norseman has a mineral resource of 4.4 million ounces of gold (on a 100 per cent basis) and was previously Australia’s longest continuously-running gold mine from 1935 until its closure in 2014.

Pantoro is aiming to develop a production plan with an initial inventory of around 500,000 ounces of gold to support the mine’s restart.

The site is one of the highest grade fields in the Yilgarn Craton.

GR Engineering was recently awarded a separate EPC contract for Calidus Resources’ Warrawoona Gold project in Western Australia, valued at $75.5 million.