- Walkabout Resources (WKT) executes agreements for the development of the Lindi Jumbo Graphite Mine in southeast Tanzania
- WKT has contracted TRN Engineering to carry out the bulk earthworks and civil engineering works for $7.4 million
- Additionally, TRN will also complete the civil works on site under a civils contract of $4.1 million
- The company expects formal mobilisation activities to commence sometime this month
- Shares are trading 2.38 per cent higher at 21.5 cents at 12:28pm AEST
Walkabout Resources (WKT) has executed agreements for the development of its Lindi Jumbo Graphite Mine in southeast Tanzania.
WKT is developing the graphite project in the hopes of taking advantage of
forecasted market conditions for large and jumbo flake graphite products.
In an update to the market, the company said it has executed the first material project development agreement for the bulk earthworks and civil engineering works with a local Tanzanian contractor, TNR Engineering (TNR).
The new contract includes all of the major bulk earthworks on site and is valued at US$5.6 million (A$7.4 million).
Hiring TNR Engineering is in line with WKT’s ‘local first’ policy and the mark of a continuing relationship as the contractor previously completed an early works contract with Walkabout in 2019.
Additionally, TNR has also been contracted to complete the civil works on site to the value of approximately US$3.1 million (A$4.1 million).
The civils contract includes all of the earthworks, concrete works and building in preparation of the construction and installation of a processing plant and associated infrastructure.
This work is set to be completed according to the design specifications by Jinpeng Engineering in China.
Further, sign-off for the civils works will be completed by a Jinpeng Engineering representative, which will cover installation of the plant equipment as it arrives on site according to the construction schedule.
In preparation for the works, TNR has started pre-mobilisation and site establishment activity, deploying project staff, sourcing local accommodation and undertaking stakeholder engagement facilitated by the Lindi Jumbo team.
WKT said the company expects mobilisation to site this month.
CEO of Walkabout Andrew Cunningham believes the company’s long-standing working relationship with TNR will aid a smooth transition towards becoming a mine developer and producer.
Shares were trading 2.38 per cent higher at 21.5 cents at 12:28pm AEST.