QUEBEC – Toronto's Royal Nickel Corp. has awarded the detailed engineering contract for the Dumont nickel project 25 km west of Amos, in the Abitibi Mining Camp. The contract went to Ausenco Limited, a global, diversified engineering and project management company with headquarters in Australia.
Ausenco did the pre-feasibility and feasibility studies for Dumont, and familiarity with the project allows the company to start immediately on the engineering.
"With a rapidly improving nickel market and constructive discussions with potential partners, we are moving forward with confidence to this next phase of project development," said Mark Selby, Royal Nickel president and CEO. "We are very happy to continue working with the Ausenco team, who in our view is one of the top project teams globally for large scale open pit mine and mill projects. By beginning detailed engineering work now, it will allow construction to start in early 2015 assuming permits and financing are in place."
Royal Nickel considers the Dumont project to be one of the world's largest undeveloped nickel sulphide projects. The deposit has measured and indicated resources of 1.67 billion tonnes grading 0.27% Ni, 107 ppm Co, 0.020 g/t Pd and 0.009 g/t Pt. The indicated resource is 499.8 million tonnes at 0.26% Ni, 101 ppm Co, 0.014 g/t Pd and 0.006 g/t Pt. The mine is expected to average 104 million lb of nickel in each year of its 20-year life.
Please see RoyalNickel.com for additional information.