NRW Holdings Limited (ASX:NWH) is pleased to advise that its wholly owned subsidiary, Golding Contractors have signed a contract with EQ Resources Limited for the restart of the open pit mining operations at Mt Carbine near Cairns, Queensland. EQ Resources is the 100% owner of the Mt Carbine tungsten mine.
The contract provides for the first 12 to 18 months to be completed on a rates and cost-plus basis to establish a site-specific baseline cost, after which the parties intend to transition to a rise and run matrix of rates, on fleet composition and material type basis. The scope of the project includes all mine planning, scheduling and operations including moving waste, ore and low-grade stockpile material to the processing plant.
The contract is scheduled to run for approximately 70 months commencing and has an approximate value of $179 million.
EQR CEO Kevin MacNeill commented on the contract, saying:
“We’re very happy with the relationship we’ve developed with Golding over the past year. It’s been a collaborative process and has been a positive engagement throughout. It feels we’ve gained a long-term partner rather than just a contractor.
“Their level of professionalism, proactive approach to problem solving and willingness to work with the EQR team has really set them apart.”
Commenting on the contract, Golding’s CEO, Geoff Canton said:
“I am delighted that the Golding team have now executed the contract with EQR. This contract is the culmination of a period whereby the Parties have been working closely together under an early engagement contract.
“This has been a very positive experience for Golding and the team are now very excited to move to the next phase with EQR”.
The project will employ approximately 50 people from the local and wider North Queensland area, with Golding deploying a mix of existing, hired and client owned fleet to the project.