New Century Resources Ltd. contracted Downer EDI Ltd. for mining at its East Fault Block and South Block resources, located adjacent to its Century open pit zinc mine in Queensland, Australia.
New Century said May 29 that it executed a cultural heritage management plan with the Waanyi registered native title body corporate to secure traditional owner consent for development of the South Block mineral resource.
The mining services agreement with the Waanyi Downer joint venture constitutes the first time that a mining services agreement has been executed within the compensation arrangements for a cultural heritage management plan, the companies said May 29.
Waanyi Downer, is an equally-owned joint venture between Waanyi Enterprises Pty. Ltd. and Downer EDI Mining Pty. Ltd.
The South Block hosts indicated mineral resources of 6.1 million tonnes containing 322,000 tonnes of zinc, 90,000 tonnes of lead and 8.5 million ounces of silver.
In April, New Century awarded a contract to the joint venture for the provision of training services to Aboriginal and Torres Strait Islander people and communities for the Century Mine.
New Century is currently undertaking a pre-feasibility study to assess the near term development of existing in-situ mineral resources into upcoming operations at the Century mine, which can potentially increase the 6.3-year mine life.
The study is estimated to complete in the third quarter. Tailings operations are scheduled to kick off in August.
Previously during the week, New Century awarded a five-year, A$110 million contract to CIMIC Group's Sedgman Pty. Ltd. to operate and maintain its Lawn Hill processing plant, concentrate pipeline and Karumba Port facility, as the company looks to restart the Century mine.
