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WPG awards new contract for mining at Challenger including Challenger Deeps area

Published 07 July 2017

WPG Resources announced that rehabilitation works at the bottom of the Jumbuck Decline at Challenger have been completed and development towards the next production level recommenced on 5 July 2017.

This is the first step in the development of Challenger Deeps as a new production area with the next phase of drilling activities scheduled to commence in August this year and for development activities to continue in anticipation of first stoping later this year.

WPG invited a number of mining contractors to tender for a new mining contract at Challenger in a competitive process and is pleased to advise that it has issued a Letter of Intent to Byrnecut Australia Pty Ltd. Byrnecut has commenced mobilisation activities and will assume responsibility for all underground mining at Challenger as of 8 August 2017.

Byrnecut was the contractor at Challenger prior to WPG’s acquisition of the mine and they are very familiar with operations at site. Byrnecut is a full service underground mining contractor operating in Australia, Africa and the Middle East.

The Company’s Executive Chairman Bob Duffin said “Our recent Placement and the current Entitlement Issue to shareholders are designed to achieve a number of important objectives which includes the underground development at Challenger to allow sustained ongoing mining operations. We welcome Byrnecut back to our operation and look forward to delivering on our mining plan. We have accumulated ROM stockpiles at both Challenger and Tarcoola to ensure minimal impact on milling operations during the changeover period.”

Source: Company Press Release