The company awarded the mining package contract for the project to NCL Ingeniería y Construcción.
Capstone Mining owns a 70% equity stake in the project, while the Korea Resources Corporation (KORES) holds the remaining 30% interest. Under the scope of the project, AMEC will have to complete basic engineering work in parallel with the feasibility study.
The basic engineering work is expected to provide specifications and bid documents for all major and long lead time equipment before the end of the year.
Work on the feasibility study is expected to start immediately and completion is scheduled for early 2013.
KORES must arrange a debt financing package for 65% of the project capital cost as estimated in the feasibility study, on completion of the feasibility study and board approval.
Capstone will bear 70% of the remainder of the capital cost while KORES will provide 30%.
