Calidus locks in $210 million Macmahon contract 

16 September, 2021

Calidus locks in $210 million Macmahon contract! Open cut mining will take place at the Warrawoona gold project in Western Australia. The project will be conducted by Macmahon, who were hired by Calidus Resources.

The project will run until December 2026, generating $210 million in revenue.

“We are delighted to finalise this mining contract with Calidus Resources for its Warrawoona gold project. This follows on from the civil work we are currently undertaking on site. This contract will add approximately $210 million to our order book, and is a welcome addition to our growing portfolio of Western Australian gold projects.  

We have built a strong relationship with the Calidus team since we commenced on site earlier this year. We look forward to developing this project with them,” Macmahon chief executive officer and managing director Michael Finnegan said. 

There are currently 65 personnel on site conducting early-stage civil works. Mining equipment is expected to arrive in the first quarter of 2022 to employ a total of 120 workers.  

Calidus is expecting first production in the June quarter of 2022 as they surpass the 60 per cent completion milestone at Warrawoona.

“With only two complete quarters remaining to first gold production, works on site continue at pace on all work fronts. Concrete works are almost complete. The focus has turned to mechanical and structural installation, the highlight being the installation of the mill shell. 

In addition, we are very pleased to have signed the mining services agreement with Macmahon. This will mobilise in the new year to ensure we have sufficient ore stocks available at mill commissioning,” Calidus managing director Dave Reeves said. 

This article is an extract from Australian Mining.