London, UK,
19
June
2017
|
08:00
Europe/London

Amec Foster Wheeler wins Nordgold’s Gross Gold mine contract, Russia

Newsfacts:
  • Innovative technology to improve production and operating efficiency

Amec Foster Wheeler announces today that its wholly owned subsidiary Terra Nova Technologies (TNT), which is a global leader in conveying and material handling systems solutions, has been awarded the ‘Phase 1’ Equipment contract for Nordgold’s Gross Gold mine in Yakutia, Russia, adjacent to Nordgold's Neryungri mine.

The mine is expected to produce approximately 12 million tonnes of ore and around 230 koz of gold per year at full production for 17 years. Construction on the Gross Gold project will take up to two years and will require approximately US$250 million of capital investment. The first gold expected to be produced in the first half of 2018.

TNT will provide equipment on a design and supply basis and Amec Foster Wheeler will focus on geotechnical and process engineering support. The scope of work includes the design and supply of five overland conveyors and the equipment for a dynamic (on-off) heap leach system.

This is the first design and supply material handling contract in Russia for the company and its second contract with Nordgold. The first contract was for Nordgold’s Bouly gold mine in Burkina Faso which began operation in May 2016, for which TNT supplied the stacking system, overland conveying and agglomeration drum.

This contract win supports our strategy to grow the TNT business and continue investment in our mobile stacking systems, which can lower operating costs in mines. Supplying Nordgold with a second gold heap leach stacking system is testament to the success of that strategy, the expansion of our share of work from major global miners and TNT’s innovative conveyor and materials handling systems solutions. We look forward to working with Nordgold to maximise the value of the project by improving production and operating efficiency through the use of our innovative technology.
Ron Kelly, Senior Vice President at TNT
Notes to editors

Amec Foster Wheeler (www.amecfw.com) designs, delivers and maintains strategic and complex assets for its customers across the global energy and related sectors.

Employing around 35,000 people in more than 55 countries and with 2016 revenues of £5.4 billion, the company operates across the oil and gas industry from production through to refining, processing and distribution of derivative products and in the mining, power and process, pharmaceutical, environment and infrastructure markets.

Amec Foster Wheeler shares are publicly traded on the London Stock Exchange and its American Depositary Shares are traded on the New York Stock Exchange. Both trade under the ticker AMFW.

Terra Nova Technologies (TNT) (www.tntinc.com) is a wholly owned subsidiary of Amec Foster Wheeler and a global leader in conveying and material handling systems solutions, with complete design/supply and EPC capabilities.

Nordgold (www.nordgold.com) is an internationally diversified gold producer established in 2007. Nordgold has a proven track record of operational excellence and benefits from a significant international development pipeline. The Company is relentlessly focused on shareholder value, committed to running safe, efficient, profitable operations, which enable it to generate strong cash flows and in turn, continue to invest in its pipeline of new growth opportunities while generating returns for investors. In 2016, Nordgold produced 869 koz of gold. Nordgold operates nine mines (four in Russia, three in Burkina Faso and one each in Guinea and Kazakhstan). It has one project in construction phase (Gross in Russia), several prospective projects in feasibility study, advanced exploration phase and a diverse portfolio of early-stage exploration projects and licences in Burkina Faso, Russia, French Guiana and Canada. Nordgold employs over 8,000 people.

Forward-Looking Statements

This announcement contains statements which constitute “forward-looking statements”. Forward-looking statements include any statements related to the timing, results and success of contracts, and are generally identified by words such as “believe,” “expect,” “anticipate,” “intend,” “estimate,” “will,” “may,” “continue,” “should” and other similar expressions. Forward-looking statements are subject to various risks and uncertainties, many of which are difficult to predict and generally beyond the control of Amec Foster Wheeler, that could cause actual results and developments to differ materially from those expressed in, or implied or projected by, the forward-looking statements. Amec Foster Wheeler does not undertake to update any of the forward-looking statements after this date to conform such statements to actual results, to reflect the occurrence of anticipated results or otherwise.