Underground mining to commence at Kathleen Valley Lithium Project
Underground mining activities are ramping up at the Kathleen Valley Lithium Project in Western Australia with the beginning of contract execution with Byrnecut Australia.
Byrnecut was issued a letter of award for the $1 billion Underground Mining Services contract in August of this year, and the execution of the contract marks the final milestone in the highly competitive and technically comprehensive tender process.
Preparatory works are already underway on site at Kathleen Valley ahead of mobilisation of Byrnecut, which is expected in the coming weeks.
Development of multiple declines from the Mt Mann box cut is on track to commencing in November 2023.
The billion-dollar four-year contract is comprised of operating costs, sustaining capital as well as capital associated with underground mine operations.
“I am pleased to announce this final milestone in the Underground Mining Services contract.
“As I have previously said, Byrnecut is a globally experienced and professional tier-1 underground mining services contractor. We look forward to partnering with their motivated teams to achieve our production and ramp up targets at Kathleen Valley, with first production on track for mid-2024,” Liontown Resources Managing Director and CEO Tony Ottaviano said.
The Kathleen Valley Lithium Project is located about 60 kilometres north of Leinster and 680 kilometres north-east of Perth. The mine is accessible by sealed highways that connect to mineral exporting ports at Geraldton and Esperance.
Once operational, Kathleen Valley will have an initial capacity of 3Mtpa, producing about 500ktpa of spodumene concentrate. A 4Mtpa expansion is also being planned on the 6th year of operations to increase production to 700ktpa of spodumene concentrate.
Recently, Liontown Resources has awarded a $100 million contract to Monadelphous for Structural, Mechanical, Piping (SMP) and Electrical and Instrumentation (E&I) works for the vertically integrated wet plant at the Kathleen Valley Lithium Project. You can read more about the contract award here.
Source: Liontown Resources (1, 2); Australian Mining; Australian Resources
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