Capricorn Metals (ASX:CMM) has solidified its partnership with MACA, extending their existing contract for the Karlawinda Gold Project (KGP) and naming MACA as the preferred mining contractor for the Mt Gibson Gold Project in Western Australia. Capricorn Metals is an Australian gold producer focused on operations in the Pilbara and Mid-West regions. The company is headquartered in Perth and has a market capitalisation of $4.39 billion.
The five-year extension of the Karlawinda contract maintains the existing unit rate pricing while accommodating an expanded mining fleet. This fleet is crucial for achieving an increased volume of 6.5 million tonnes per year and an annual gold production target of 150,000 ounces under the Karlawinda Expansion Project (KEP). MACA has already begun mobilising the expanded fleet, increasing volumes in recent months to support early stripping operations essential for maintaining consistent ore feed rates at KEP.
According to Executive Chairman Mark Clark, securing MACA as the preferred mining contractor for the Mt Gibson project at unit cost rates aligned with their reserve model validates the project’s economics. MACA is an international contracting group providing services to the mining, infrastructure, and construction sectors for 20 years. Clark also stated that this agreement positions MACA to swiftly advance early mining works once Capricorn completes the regulatory permitting phase and initiates development at Mt Gibson.
The early selection of MACA is aimed at ensuring rapid mobilisation and mitigating potential risks associated with equipment lead times and service delivery, should the project proceed. This strategic move underscores Capricorn Metals’ commitment to efficient project execution and cost management as it progresses with its expansion and development plans.
