TNG appoints Clough as lead engineer for Mount Peake vanadium-titanium-iron development
Mineral processing technology company TNG (ASX: TNG) has appointed Australia-based construction firm Clough as lead engineer for the delivery of its wholly-owned Mount Peake vanadium-titanium-iron project in the Northern Territory (reports Small Caps).
23rd June 2022
Under the terms of the agreement, Clough will assume the role of preferred engineering, procurement and construction (EPC) contractor and will prepare a binding fixed price, lump sum proposal for the completion of works and a procurement contracting model.
Clough will also continue to identify any value engineering opportunities associated with optimising capital and operating expenditure for the project.
Mount Peake is one of the largest undeveloped projects of its kind in the world and has been awarded “major project status” by the Australian federal government and the Northern Territory government.
TNG aims to develop a fully-integrated single mining and processing operation creating high-value, high-purity vanadium pentoxide, titanium dioxide pigment and iron oxide products for export, through the application of its proprietary TIVAN process.
TNG managing director and chief executive officer Paul Burton welcomed Clough to the Mount Peake project team.
“Clough has a strong track record in delivering large projects like Mount Peake and we are looking forward to working closely on the EPC proposal,” he said.
“We now have the support of Clough, SMS group and Ti-Cons as we progress Mount Peake through the pre-development stage ahead of a planned transition into delivery.”
Clough was previously engaged by TNG to produce an integrated layout for the Mount Peake operation when the TIVAN processing facility was relocated to the mine site last year.
The companies are currently advancing discussions on additional works required to facilitate development of the EPC proposal.
Mr Burton said any extra works will be confirmed under a separate services agreement including detailed scope, costs and scheduling.
He said as part of the EPC proposal, Clough will take into account global cost pressure factors including the disruption of supply chains, higher energy costs (including from the impact of the Ukraine-Russia conflict), longer lead times and logistical delays, higher labour costs due to workforce shortages, and escalated costs of steel and concrete.
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