Viridis Mining and Minerals (ASX:VMM) has selected Sedgman (ASX:SDM) and its Brazilian engineering provider Blossom Consultoria e Assessoria as the company’s preferred engineering, procurement, and construction management (EPCM) partner for the Colossus Rare Earth Project in Brazil.
The selection follows a competitive tender process involving 11 international and Brazilian engineering groups.
Viridis says the Sedgman/Blossom delivery model integrates Sedgman‘s international execution and procurement capabilities with Blossom’s engineering presence in Belo Horizonte, Minas Gerais.
The company has approved expenditure of up to US$3 million ($4.15 million) for a pre-final investment decision (FID) bridging phase. Full EPCM appointment remains subject to final contractual terms and FID.
The pre-FID bridging phase enables Viridis to progress detailed engineering towards design freeze, manage awarded long-lead equipment packages, and prepare upcoming procurement packages to protect the targeted 2028 production schedule.
Managing Director Rafael Moreno says the mobilisation of the EPCM team allows the company to advance critical-path activities ahead of FID.
“We have undertaken a comprehensive competitive process to select the team we believe is best equipped to deliver our execution strategy, which combines significant Brazilian engineering and project delivery capability with specialist equipment and expertise from leading global suppliers,” Moreno says.
“Importantly, we are not waiting for FID to commence this work … This allows us to continue de-risking the execution schedule and maintain momentum towards our targeted 2028 production schedule while limiting our financial commitment ahead of FID.”
The appointment follows the completion of the project’s Definitive Feasibility Study, securing strategic equity funding arrangements, and awarding the 138-kilovolt grid connection and residue pressure filtration package contracts.
Viridis Mining and Minerals is a resource explorer and developer with assets in Brazil, Canada, and Australia.
Write to Paula Fabe at Mining.com.au
Images: Viridis Mining and Minerals
