Ausenco wins EPC contract for Atlantic Gold’s Moose River Consolidated project in Canada
Australian engineering company Ausenco has secured A$91m ($67m) engineering, procurement and construction (EPC) contract for Atlantic Gold's Moose River Consolidated (MRC) gold project in Nova Scotia, Canada.
Under the contract, Ausenco will deliver a two million tonnes per annum gold processing plant, a truck shop and office facilities, in addition to related infrastructure.
Ausenco CEO Zimi Meka said: "We are pleased to have commenced work on this quality project and we look forward to working with Atlantic Gold over the next 17 months to deliver this project."
The company already undertook detailed engineering work, including payments for vendor data as the first stage of ordering the ball mill.
Furthermore, it will work towards construction of a process plant, which would be ready for production by 2017.
Atlantic Gold chairman and CEO Steven Dean said: "Both Ausenco and Atlantic have invested a significant amount of time and effort over the last several months refining a definitive EPC Contract containing detailed engineering specifications, performance testing criteria, cash flows and schedules.
"The effect of that substantial up front work, in our view, reduces many of the risks in connection with the construction and development of the MRC project."
Separately, Atlantic Gold, through its wholly owned subsidiary DDV Gold, has signed an agreement with Macquarie Bank and Caterpillar Financial Services for its previously announced $115m loan facility to fund construction costs of MRC.