OZ Minerals has awarded the contract for the next phase of its Carrapateena underground mine development to Downer EDI. The approximately six-and-a-half-year contract is valued at $660 million.

Core racks at Carrapateena tenement. Image source OZ Minerals

Downer will mobilise to the Carrapateena site this week initiating a 10-week transition period prior to assuming responsibility for all site underground mining operations from 1 July 2018.

The underground mining contract review is aligned with the start of the next stage of Carrapateena’s mine development, which began in April following receipt of all primary approvals, including the Mining Lease, from the State and Federal Governments at the end of March 2018.

OZ Minerals thanks PYBAR Mining Services Pty Ltd (PYBAR) for the development work they have undertaken over the past two years and for their major contribution in reaching development schedule and budget milestones. Downer and PYBAR will work together during the transition period to facilitate development continuity and employee support and opportunities.

Scope of work
Comprises all underground mining activity for the duration of the contract including:
• site setup and development to the top of the ore body and infrastructure excavation,
• production setup and ramp up, and
• bedding in steady-state operations at nameplate site capacity.

Source: www.ozminerals.com