Boab Metals (ASX:BML) welcomes GR Engineering Services (GRES) as preferred EPC Contractor for expanded Sorby Hills Lead-Silver Project process plant

November 28, 2022 06:06 PM AEDT | By Ankur Jaiswal
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  • Boab Metals (ASX:BML) has announced GR Engineering Services Limited (GRES) as the preferred EPC Contractor for the Sorby Hills Lead-Silver Project process plant.
  • The design scope represents a 50% increase in the maximum capacity of the process plant versus that considered in the Sorby Hills Project Pre-Feasibility Study.
  • The commercial agreement and contract award is likely to be finalised in the coming months.
  • The company expects to finalise the ongoing Definitive Feasibility Study in Q4 2022.

Boab Metals (ASX:BML) recently announced GRES as the preferred engineering, procurement and construction (EPC) contractor for an expanded process plant for its Sorby Hills Lead-Silver Project.

The process plant is expected to have a capacity of 2.25Mtpa*, which is 50% greater than the maximum capacity considered in the Pre Feasibility Study (PFS) for the  Sorby Hills Project, which is located in the Kimberley Region of Western Australia.

Boab owns a 75% interest in the Sorby Hills Lead-Silver Project, located 50km from the regional centre of Kununurra. The company believes that established infrastructure and existing permitting will allow for fast-tracking production.

GRES selection – A significant project milestone

The contract is for the design and EPC of the process plant and associated non-process infrastructure.

As per the company, the tendered price will be as per the proposed capacity expansion and will also form the basis of capital cost estimates for the Definitive Feasibility Study (DFS). Boab expects to finalise the DFS in Q4 2022.

To learn more about the selection of Preferred EPC Contractor click here

Next steps

The commercial agreement and contract award are likely to be finalised in the coming months. After a final investment decision on the project, GRES and Sorby Management Pty Ltd, manager of the Sorby Hills Project, are expected to execute the EPC Contract.

Meanwhile, the parties plan to execute a detailed design and procurement agreement to advance key workstreams before finalising the full EPC contract.

Selecting GRES as the preferred EPC contractor is in line with Boab’s focus on project execution workstreams. Also, the company believes that the tendered prices represent outstanding results amidst the current inflationary economic environment.

The company looks forward to working with GRES, which was selected following a highly competitive EPC tender process.

Keep up to date with Boab Metals by following them on their Linkedin page here    

*Represents the maximum design feed capacity included in the tendered scope of work submitted by GRES. The value should not be considered a production target nor as evidence of the project's economic viability.


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