Leo Lithium has awarded a mining services contract worth $348m for the Goulamina lithium project in Mali to Corica Mali, a subsidiary of Corica Mining Services.
The contract covers six months of pre-production activities at the open-pit lithium mine followed by a fixed term of five years once production begins.
It encompasses grade control, drill and blast, load and haul, and plant ore feed services. The targeted annual material movement is expected to range between 18 to 20 million tonnes throughout the duration of the contract.
Located in the Bougouni Region of southern Mali, the Goulamina lithium project is expected to begin production in the first half of next year with its construction at a well-advanced stage.
According to Leo Lithium, Corica Mining Services has already mobilised to the site through an early works contract and is currently engaged in pre-strip operations and providing mining and crushing services for direct shipped ore (DSO).
Leo Lithium said that the contract to the African-owned mining contractor was given after undertaking a competitive tender process and due diligence, based on safety, experience, capability, availability of equipment, and cost.
Corica Mining Services has been operating in the West African region for more than two decades and has a workforce of over 2,000 employees, said Leo Lithium, which is an Australia-based pure-play lithium company.
Besides, Corica Mining Services is currently engaged in delivering large-scale mining services to various Australia and Canada-listed mining firms. These cover seven mining operations in Mali and neighbouring nations of Burkina Faso and Côte d’Ivoire.
Leo Lithium managing director Simon Hay said: “We are delighted to appoint Corica as our mining services contractor following an intensive tender process. Corica has a long history and strong presence in Mali and will bring substantial local employment and supplier opportunities to the region.
“With the mining contractor now in place, Leo Lithium has taken another major step towards realising its target of first spodumene concentrate production in H1 2024. We look forward to working with Corica over the long term, commencing with DSO activities this quarter.”
