29Metals has awarded Byrnecut Australia a four-year underground mining contract for the Gossan Valley mine at its Golden Grove operation.
The project remains on track for first ore delivery by the end of 2026, according to a statement. Gossan Valley is expected to provide a replacement, higher-grade ore source as production from the Scuddles mine declines.
“The award of the mining contract is another significant milestone towards achieving first ore from Gossan Valley by the end of 2026,” 29Metals chief executive officer James Palmer said.
“As the second-highest grade ore reserve behind Xantho Extended, development of Gossan Valley optimises Golden Grove’s life-of-mine production profile and enhances overall production flexibility as a relatively shallow and independent mining front.”
Byrnecut, which is the incumbent contractor for the adjacent Gossan Hill and Scuddles mines, was selected following a competitive tender process.
“After a competitive tender process, we are pleased to be advancing the Gossan Valley project with Byrnecut, who, as the incumbent mining contractor at Gossan Hill and Scuddles, enable opportunities for operational and commercial synergies across mining operations at Golden Grove,” Palmer said.
29Metals also stated that the Gossan Valley mineral resource estimates remain open at depth, indicating potential for future expansion.
