Core Lithium Ltd (ASX:CXO) has awarded the operations and maintenance contract for the dense media separation (DMS) plant at its Finniss Lithium Project near Darwin in Australia's Northern Territory to engineering consultant Primero, a wholly-owned subsidiary of NRW Holdings Limited.
Over an initial five-year term, which kicks off immediately, Primero will operate and maintain Finniss’ DMS processing facilities, as well as any related tailing storage facilities.
Core and Primero have already worked together on Finniss’ engineering, design and construction contract, meaning the operations and maintenance phase will strengthen their working relationship.
Targeting production next year
Finniss’ DMS plant is being prepared for commissioning, with its first batch of lithium concentrate slated for production in the first half of 2023.
As such, Primero is ready to deploy most of the contract’s key personnel this month. It expects to complete all remaining recruitment and operational readiness activities by December, readying Finniss for maiden production in the new year.
Speaking to the agreement, Core CEO Gareth Manderson said: “The operations and maintenance contract award to Primero extends the relationship Core has with Primero from beyond the engineering, procurement and construction (EPC) contract.
“Significantly, Primero is not only building the project’s DMS facility, they now back their workmanship through the operations and maintenance.”