Australian gold mining firm Red 5 has received the final approval from the Western Australia Department of Mines, Industry Regulation and Safety to restart the King of the Hills (KOTH) Gold Project.
The approval allows the company to restart mining activities at the KOTH Gold Project, which is expected to have an operational life of 16 years.
Additionally, the company secured approval for the Phase 2 of the engineering, procurement & construction (EPC) contract.
This award allows the company’s EPC contractor, MACA Interquip to ramp-up the mobilisation at the mine in the coming months.
As part of the EPC and bulk earth works contract awarded by Red 5 in November 2020, MAPA Interquip will be responsible for KOTH processing facility, equipping of the bore fields, high voltage power distribution, workshop, warehouse and bulk earthworks.
Red 5 managing director Mark Williams said: “With all major mining approvals now in place and the debt funding process on track for completion this quarter, Red 5 has approved Phase 2 of the EPC contract.
“The manufacture and delivery to Australia of all key long-lead items for the plant is also well on track, which will help to ensure that key construction and installation milestones can be achieved once construction of the plant moves into full swing in the second half of this year.”
Red 5 said it is also finalising the debt financing with a Tier-1 banking syndicate for the project.
The firm plans to make first gold pour from the KOTH processing plant in the June 2022 quarter.