Gruyere JV, a 50:50 Joint Venture between Gold Road Resources Ltd and Gold Fields Ltd, has confirmed the signing of a five-year AUS$400 million mining services contract with Downer EDI Ltd to mine the Gruyere gold project.
Downer was awarded the contract based on its price competitiveness, relevant experience on technically similar projects, and demonstrated leadership in safety, environmental stewardship and community engagement.
The cost of the mining services contract was in line with the cost estimated in the Gruyere feasibility study.
Gruyere JV General Manager Operations, Steve Price, said: “The award of the mining contract is the result of six months work that involved numerous capable contract mining companies. Downer was selected as the preferred Business Partner for the Project as they led in all facets of the key criteria set for the award of the mining contract. We are looking forward to Downer joining the Gruyere team as a key Business Partner and contributing to the future success of the project.“
Downer will have a workforce of approximately 170 personnel engaged in the project and will commence construction of the mining infrastructure (workshops and office buildings) in the March 2018 quarter.
Mining activities are scheduled to commence in the December 2018 quarter using a fleet of 225 t payload dump trucks, 400 t excavators, production blasthole drills and support equipment to move around 31 million tpy of material.