Lycopodium Limited (ASX:LYL) Awarded Major Contracts for Koné Gold Project
Contract Details
Lycopodium Limited has secured Engineering and Procurement (EP) and Construction Management (CM) contracts for Montage Gold’s Koné Gold Project in Côte d’Ivoire. The flagship project, slated to be one of West Africa’s largest greenfield gold processing plants, benefits from its strategic location near existing infrastructure and year-round road access.
The project is fully financed, with an initial capital cost estimated at US$835 million. Lycopodium’s scope of work, valued at A$56.7 million, involves engineering, design, procurement, construction management, and commissioning of an 11.0 Mtpa carbon-in-leach process plant.
Project Outlook
The Koné project is anticipated to commence production in early 2027, with a projected mine life of 16 years. It is expected to yield approximately 300,000 ounces of gold annually during its initial eight years of operation.
Executive Comments
Peter De Leo, Managing Director of Lycopodium Limited, expressed enthusiasm for the project: “Koné is poised to become West Africa’s next sizeable, long-life, low production-cost gold mine. We are very pleased to take on this opportunity to leverage our vast experience and proven track record in successfully delivering gold projects in Africa.”
Lycopodium is advancing Front End Engineering and Design (FEED) services, with EPCM services commencing immediately.
Motley Fool contributor Abbie Stokes has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has recommended Lycopodium. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
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