Group 6 Metals awards processing plant contract to Gekko Systems for Dolphin tungsten mine redevelopment

Group 6 Metals ASX G6M plant contract Gekko Systems Dolphin tungsten mine redevelopment
Group 6 Metals changed its name from King Island Scheelite earlier this month and is redeveloping the Dolphin tungsten mine in Tasmania.

Group 6 Metals (ASX: G6M) has awarded a $49 million contract to Gekko Systems for the design, procurement, construction and commissioning of a processing plant and associated facilities during the redevelopment of its wholly-owned Dolphin tungsten mine in Tasmania.

The company – which changed its name from King Island Scheelite this month to better reflect its aspirations beyond the rare metal – has been collaborating with Gekko since 2018 on a metallurgical process flowsheet for the plant after extensive testwork at the ALS laboratory in Burnie.

Group 6 executive chairman Johann Jacobs said the contract would result in a locally-designed and built process plant solution.

“We have worked very closely with Gekko over a number of years which has culminated in us being able to execute this substantial contract so soon after completion of Dolphin’s financing,” he said.

“We look forward to continuing our working relationship to ensure a quality facility which is completed on time and budget.”

Earthworks for the construction project have been scheduled for the new year with civil works to follow.

The company said the new facilities would be commissioned in early 2023 with the first shipment of concentrate scheduled shortly thereafter.

Meaning behind the name

The “Group 6 Metals” name honours tungsten as the company’s first commodity project under development.

Tungsten appears in Group 6 of elements on the periodic table along with chromium, molybdenum and seaborgium, and is considered a critical mineral and a geopolitically-strategic resource.

The company remains focused on the redevelopment of the Dolphin mine to produce a high-grade tungsten concentrate.

Plans are also well advanced to value-add the product for supply into the upstream tungsten industry.

Last month, Group 6 raised $5.5 million through the placement of 39.6 million shares to cover the costs of mobile mining equipment, processing plant development and infrastructure construction related to its projects.

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