Subscribe
Be the first with the news that moves the market- Strandline Resources (STA) says the construction process of its Coburn project is 50 per cent complete
- Since reaching a final investment decision in May 2021, the company has been focused on developing the WA-based project into a world-class critical minerals producer
- Strandline has completed a number of site works, prepared and commissioned accommodation for workers and has established all major construction contractors
- Positively for the company, the Coburn project is on-time and on-budget to commence producing heavy mineral concentrate in the December 2022 quarter
- STA shares have been up 21.3 per cent to trade at 32.8 cents
The construction process for Strandline Resources’ (STA) Coburn project is 50 per cent complete and reportedly progressing well.
The Coburn Project is regarded as a ‘world-class’ mineral sands project which is located in Western Australia’s Gascoyne region.
Strandline made a final investment decision (FID) in May 2021 which sparked the road to the full development of a critical minerals operation over a 22.5-year mine life with potential to extend to 2060 — outlining a total potential mine life of 37.5 years.
At the time of reaching a FID, the company said the project would cost $338 million to build but claimed it was fully funded through to production and cashflow.
At this stage, Strandline Resources has completed site-wide bulk earthworks with cut-to-fill, sub-base and base course works continuing. This will provide access for above-ground infrastructure to proceed.
All major construction contractors are now established on site and various services contracts have been executed with mineral sands contractors. Pre-mobilisation activities are now underway.
Strandline has also commissioned a site accommodation village for the first 236 of 272 rooms. The site has a current headcount of 210.
The company said the processing plant engineering, procurement and construction (EPC) is ahead of schedule, with engineering design about 95 per cent complete, concrete installation 70 per cent complete, and steel and platework fabrication are well underway.
Strandline Managing Director Luke Graham said the company has continued to achieve positive outcomes.
“Our success to date means we are well placed to capitalise on what is a very strong market for mineral sands, with buoyant global demand and supply limited by the lack of investment in new projects in recent years,” he said.
Importantly, Strandline is on-time and on-budget to commence producing heavy mineral concentrate in the December 2022 quarter.
STA shares were up 21.3 per cent to trade at 32.8 cents at 2:21 pm AEDT.
