$338m Coburn mineral sands project in WA ready to begin construction
Strandline Resources has reached a Final Investment Decision (FID) for the development of the $338 million Coburn mineral sands project located in Western Australia's Gascoyne region and the project is now ready to commence construction.
“The project is set to benefit from increasing demand and falling supply of its critical minerals following years of under-investment in new projects.
“Coburn is a world-scale project in a tier-1 location, and achieving FID is consistent with Strandline's strategy to develop and operate high margin, expandable mining assets with market differentiation and relevance in the sector.
“Coburn will also provide significant public benefit, employment and new business opportunities as well as export income for the nation,” Strandline Resources Managing Director Luke Graham said.
The Coburn mineral sands project is expected to create 300 direct jobs during its construction and a further 150 jobs once operational.
Coburn infrastructure - WCP on the left and MSP on the right (source: Strandline Resources)
In addition to the announcement of the FID, Strandline Resources has also awarded a $135 million engineering, procurement and construction (EPC) contract to Primero Group Limited – a wholly-owned subsidiary of NRW Holdings.
The EPC contract will cover the delivery of both Wet Concentrate Plant (WCP) and the Minerals Separation Plant (MSP).
Primero Group was awarded an Early Contractor Involvement (ECI) contract in 2020, which was converted to Front End Engineering Design (FEED) and finally ending with the award of the EPC contract.
This project is due to be completed in the fourth quarter of 2022 and is expected to employ up to 190 site personnel during peak construction period.
“We are pleased to convert another Early Contractor Involvement (ECI) engagement and preferred contractor status to full contract award and associated delivery. The Strandline project is another step forward for the Minerals Division within Primero and our new owners NRW Holdings, that underpins our growing pipeline of works through 2022/23,” Primero Group CEO Cameron Henry said.
“The award of this EPC contract with Strandline demonstrates the diversity and quality of the Primero Minerals business, which is strengthening its reputation as a preferred contractor of choice in minerals processing. Our Minerals, Energy and Technology (METS) divisions is growing strongly with the addition of Primero into the group and is looking forward to further success in a strong market for services,” NRW Holdings CEO Jules Pemberton said.
Project location (source: Strandline Resources)
The Coburn mineral sands project is located approximately 240 kilometres north of the mineral sands export port of Geraldon and its deposits produce a range of critical minerals such as premium-quality zircon, titanium feedstock and monazite containing rare earths.
Coburn is expected to have an initial mine life of 22.5 years and can be potentially extended to over 37 years.
Source: Strandline Resources (1, 2); NRW Holdings; Australian Mining (1, 2)
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