Gold developer West African Resources Limited (ASX, TSXV: WAF) is pleased to announce it has awarded the underground mining contract for the Sanbrado Gold Project (Sanbrado), to highly experienced mining services contractor Byrnecut Burkina Faso SARL (Byrnecut), part of the Byrnecut group of companies.
Highlights
- Underground mining contract for M1 South awarded to Byrnecut
- Contract amount to be US$110M over five years
- West African and Byrnecut to enter into a deferred payment plan of up to US$10m
- Mobilisation activities to commence in December 2019
- Portal establishment expected to commence March 2019
- Debt funding package to develop Sanbrado to be finalised by end of Q4 2018
West African Managing Director Richard Hyde commented:
�The underground mining contract is a key operational contract for Sanbrado and its award follows the completion of a competitive tender process and extensive due diligence process examining safety, experience and capabilities.
�We are very pleased to award the underground mining contract to Byrnecut who have a long history providing underground mining services globally and have current operating experience in West Africa.�
Byrnecut Group Executive Chairman Steve Coughlan said:
�We are looking forward to partnering with West African on the exciting Sanbrado Gold Project. This project will be our second site in Burkina Faso and fifth project we have operated in the West African region.
�Byrnecut will bring more than 30 years of operational experience to Sanbrado and look forward to ensuring West African�s targets are met, while providing a safe operating environment for both client and contractor.�
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