Chatree Gold Project: Ausenco Adds Value.
30 January, 2002
Project highlights:
- Completed 20 days ahead of schedule
- Completed under budget
- US$30 million Project value
- No Lost Time Injuries
In December 2000 Ausenco was appointed by the Project owner, Akara Mining Ltd, as the EPCM contractor for the project. Project scope included the construction of all processing facilities, surface infrastructure, power supply, water supply, buildings and tailings storage facilities. Akara is confident that the project will produce gold at less than US$100 per ounce.
The project was managed from Ausenco’s Perth office. The Project Team provided the full range of services for the project including multidisciplined engineering design, procurement and expediting, and project and construction management.
As part of carrying out any project, Ausenco undertook extensive research prior to developing the detailed project implementation plan. This research included:
- Determining the capabilities and opportunities for local employment and business involvement.
- Understanding the statutory and legal frameworks for doing business in the project area.
- Utilising the capabilities of local or regional contractors for the provision of fabrication, on-site services and equipment.
- Examining the logistics and transportation requirements for delivering equipment and supplies to site.
Key issues included employment and permitting rules, maximisation of local involvement, local taxation and duties requirements, and the country’s requirements for importing goods and materials. In addition, it was essential to have a thorough understanding of the local Thai customs, religion and community structure. Language classes assisted the Project Team to more closely integrate into community life and assist with communication issues.
Ausenco provided full procurement, expediting and inspection services, complete construction management utilising a largely local workforce for the entire Project, complete commissioning services, performance testing, and training of plant operations people.
The plant construction workforce peaked at over 600 local Thai skilled tradesmen who were all highly committed to working safely, as evidenced by no Lost Time Injuries – an achievement that confirmed Ausenco’s strong commitment to safety.
The Ausenco Project Team faced a number of challenges associated with the Chatree Gold Project, one of which was logistics. Equipment for the Project was sourced globally and delivered to site through the port of Lam Chabang and via the rural road network. This included the management and handling of the largest component, the 100-tonne SAG mill shell which presented the logistics team with the opportunity to display their high level of expertise, professionalism and commitment.
As part of the contract with Akara, Ausenco also had Process Guarantees in place which were passed in early December. The Chatree Gold Mine was officially opened on 12 December 2001 by the Prime Minister of Thailand, who accepted a gift of 9 kilograms of gold and 9 kilograms of silver from the mine on behalf of the King of Thailand.
‘The successful completion of the Chatree Gold Project signifies our capability and skill base to effectively manage and deliver challenging offshore Projects,’ said Zimi Meka, Managing Director of Ausenco.
Ausenco continues to remain active in off-shore Projects, currently working on the US$30 million North Mara Gold Project in Tanzania which is on a LSTK basis, and the US$6 million Lihir Pebble Crusher Project in Papua New Guinea.
Ausenco Limited, a Brisbane and Perth-based company, provides multidisciplined engineering, procurement, project and construction management services for the mining and minerals processing industry. Projects undertaken to date include a broad range of mineral processing areas, both nationally and internationally.
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Ausenco Limited, provides multi-disciplined engineering, procurement, project and construction management services to the mining, minerals and metal processing industry. The company participates in all phases of a project’s progression, from project scoping studies, process option/technical review assessments, feasibility studies utilised for project financing, through to project design, construction and commissioning. Ausenco’s group of companies also services companies through their operation and maintenance division, supplying key asset management and operational support. These services are applied to projects in a broad range of processing areas, both nationally and internationally.
