Boab Metals (ASX:BML) has executed an engineering services agreement (ESA) with GR Engineering Services to undertake front end engineering and design (FEED) work for the process plant and associated infrastructure at the Sorby Hills Lead-Silver-Zinc Project in Western Australia.
The Perth-based exploration and development company says the ESA includes the provision for the tender and early procurement of long lead items, which is expected to be completed in Q3 2023.
Following this, both companies intend to enter into an engineering, procurement, and construction (EPC) contract for a full detailed design, which will be subject to a final investment decision (FID).
Commenting on the ESA, Boab Metals Chief Executive Officer (CEO) and Managing Director Simon Noon says: “With the Sorby Hills DFS (Definitive Feasibility Study) now complete, we are delighted to advance to the next stage of project engineering and design.
“With the Sorby Hills DFS (Definitive Feasibility Study) now complete, we are delighted to advance to the next stage of project engineering and design”
We look forward to working closely with GRES (GR Engineering Services) through this important phase of project development to finalise process plant design and identify optimisation opportunities ahead of executing an EPC contract at FID.”
Boab reports a preliminary construction schedule provided by GR Engineering will see long lead procurement and offsite fabrication begin immediately upon awarding the EPC contract and the FID in Q3 2023. It also notes the process plant construction team will be mobilised to site in April 2024.
The company says onsite earthworks associated with preparing a footprint for the Sorby Hills process plant and associated infrastructure have received Environmental Protection Authority (EPA) approval, and is scheduled to be completed ahead of the 2023 wet season.
Boab also notes process plant commissioning, and first concentrate production is scheduled to occur in early 2025.
Boab Metals is a Western Australia-based exploration and development company with interests in Australia and South America. The company is currently focused on developing the Sorby Hills Pb-Ag-Zn Joint Venture (JV) Project near Kununurra in Western Australia.
Boab holds a 75% interest in the project, while the remaining 25% is held by Chinese company Henan Yuguang Gold and Lead (SHA:600531).
The company’s portfolio in the Northern Territory includes the Manbarrum Zinc-Lead-Silver Project, and a 51% interest in the Borroloola West JV Project shared with Sandfire Resources (ASX:SFR).
In Colombia, Boab currently holds the Berrio, Natagaima, and Urrao projects which are considered prospective for copper-gold deposits.
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