Alloycorp Updates on Project Execution for Avanti Kitsault Project

Alloycorp Mining Inc. (TSXV:AVT) announced that it’s made changes to the engineering and construction strategy for its Avanti Kitsault project.

Explaining, the company said:

Alloycorp, through its wholly-owned subsidiary Avanti Kitsault Mine Ltd. (‘AKML’) will transition all engineering services from AMEC Americas Inc. (‘AMEC’) to DRA Taggart (‘DRA’). Concurrent with the transition, DRA will conduct a Front End Engineering Design study (‘FEED Study’) aimed at confirming engineering and procurement work done to-date, further solidifying capital costs and strengthening overall project efficiencies and controls. Upon completion of the FEED Study, DRA will present proposed project execution alternatives to the Company, including engineering, procurement and construction, lump sum turnkey, build own operate and transfer, and variations of these models.

Alloycorp is also pleased to announce site preparation at Avanti Kitsault is now complete, including preliminary earthworks and grading at plant site, construction of the Nass River Bridge, access to site and camp expansion. As contractor demobilization continues, overall site management will be transitioned to the AKML team. Implementation of environmental monitoring and protection programs, including water and waste management, will also continue to be managed by AKML. Until completion of the FEED Study, no further construction activities are expected to be undertaken.

Peter Mah, COO of Alloycorp and president of AKML, said:

DRA has an excellent reputation across all aspects of the project development lifecycle. We are pleased to partner with DRA as we together develop Avanti Kitsault.

We are striving to be innovative in all aspects of our operations while controlling costs as a priority. An owner and operator model allows us to effectively manage costs as we continue to review longer-term construction management alternatives.

Click here to read the full Alloycorp Mining Inc. (TSXV:AVT) press release.