Maaden unit inks notice of award for construction of Mansorah & Massarah gold project

Saudi Arabian Mining Co.’s (Maaden) wholly-owned subsidiary, Ma’aden Gold & Base Metals Co., was awarded on April 29 a turnkey contract for the construction of the Mansourah Massarah gold mine factory for around SAR 2.27 billion ($606 million), the firm said in a bourse statement.

Under the deal, the company will provide complete engineering, procurement, construction, pre-commissioning, commissioning, start-up assistance and training services to build the gold factory, which will have a production capacity of 250,000 ounces of gold per year throughout the life of mine.

The project’s total cost amounts to $880 million, the statement said.

Construction is planned to start from the date of signing the contract.

Pilot production is expected to start in Q2 2022, while commercial operations will kick off in Q3 2022.

The deal has no related parties, and further details and developments will be revealed at a later time, the statement added.