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Sedgman wins massive EPC contract

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Sedgman has won a $US 134 million engineering, procurement, and construction contract for Guyana Goldfields Aurora project.

The work includes the 1.75 mtpa processing plant, power station, and general integration management.

This follows on from being appointed as the preferred contractor late last year.

The work will be carried out through its joint venture with Grana y Montero, a South American contractor.

Early work commenced in January, with the project scheduled to reach commercial production by mid next year.

The win is a boon for Sedgman as it forecasts a tough year ahead financially.

"While some activity exists in small scale asset optimisation or critical operational upgrade the next 12 to 18 months will continue to be subdued," it said.

It has since seen an early termination of its contract at Macarthur River.

Previously the contractor had reported expected NPAT of between $3 to $6 million, however as a result of a number of factors it is now forecasting a net loss after tax of between $5 million and $7 million.

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