Liontown Resources has chosen Byrnecut as its mining contractor, sealing a significant $1 billion deal for underground mining services. The contract, lasting four years, will play a pivotal role in developing and operating the Kathleen Valley lithium project in Western Australia.
Liontown’s CEO, Tony Ottaviano, hails this move as a significant milestone for the Kathleen Valley project. Byrnecut’s expertise will be key in bringing the project to fruition.
Byrnecut’s commitment is evident through its investment of over A$125 million in new equipment for the Kathleen Valley endeavour.
Liontown’s Largest Contract to Date
Liontown’s decision to award this contract to Byrnecut is their largest ever. The comprehensive agreement encompasses a wide range of mining services for Kathleen Valley’s underground operations.
On Track for Mid-2024 Production
“At around $1 billion this is the largest contract to be awarded by Liontown and is reflective of operational requirements, external factors and the four-year duration,” Ottaviano said.
“We remain on track for first production from Kathleen Valley by mid-2024 and I look forward to partnering with Byrnecut for the next stage of our project development.”
The $1 billion contract includes costs for operations, maintaining capital, and preparatory work for the site’s planned expansion to four million tonnes per annum.
“Byrnecut is a Tier-1 underground mining services contractor with a global footprint. Its underground expertise is highly respected and well recognised throughout the mining industry and investment community, underpinned by the people they attract and retain,” Ottaviano said.
“As part of the tender process, I was pleased to learn that around 400 people have worked for Byrnecut for 10 years or more. I believe this is evidence of a highly engaged and motivated team, which is vital to operating safely in an underground mining environment.”