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Downer tagged for underground mining at Cosmo

5th February 2014

By: Esmarie Iannucci

Creamer Media Senior Deputy Editor: Australasia

  

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PERTH (miningweekly.com) – Canadian miner Crocodile Gold was gearing up to start underground production at its Cosmo gold mine, in the Northern Territory, project house Downer EDI said on Wednesday.

ASX-listed Downer had received a notice of intent from Crocodile for the award of a mining services contract that could be valued at around $70-million, and which would likely start in March this year.

The scope of the work included the development, mining and associated works to maintain a supply of ore feed to the mill from underground operations known as Cosmo Deeps.

Meanwhile, Crocodile had also awarded a diamond drilling contract at Cosmo to Boart Longyear and negotiated a new electrical power supply contract with the Power and Water Corporation.

Commercial production was declared at the Cosmo mine in the first quarter of 2013, and by the third quarter, the mine had reached sustainable production, delivering 21 300 oz during the quarter.

Edited by Creamer Media Reporter

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