Sedgman signs $90m gold deal

Engineering company Sedgman has signed a $90 million contract to design and build a new gold processing plant near Kalgoorlie for La Mancha Resources.

The Mungari gold plant, which will have a total cost of $110 million is designed to process 1.5 million tonnes per annum of ore from the Frog’s Leg and White Foil gold mines.  

Sedgeman will provide the design, procurement and construction of the plant and associated infrastructure and is expected to be completed by April 2014.

The go ahead followed the deal earlier this month which saw La Mancha agree to buy Alacer Gold’s 49 per cent or $141 million stake of the Frog’s Legs mine.