Golden Phoenix Minerals has awarded a mining services contract to Ledcor CMI for its Mineral Ridge Gold heap leach project in Nevada, US.

Ledcor has begun mobilisation of equipment and setup of site facilities, which are expected to be completed by 3 June 2011.

Under the contract, Ledcor will provide services such as drilling, blasting, loading and hauling of material. Mineral Ridge Gold personnel will be responsible for pit and dump layout, blast hole surveying and all aspects of grade control.

Golden Phoenix expects an initial production of about 14,000t/day, which will be increased to full production of about 20,000t/day.

The term of the contract has been extended to 1 May 2012 and will be renewable annually until the completion of the project.

Currently, the mine contains 3.2Mt of mineralised material to be mined over a period of 41 months, plus waste rock extraction.