Perth-based GR Engineering has picked up a $24.5 million contract to expand the processing plant at Saracen Minerals Holdings’ Carosue Dam gold mine in the Goldfields. 

The engineering design, procurement and construction contract includes adding secondary grinding equipment to the existing plant to push throughput to 3.2 million tonnes a year, along with upgrades to the carbon-in-leach circuit and other process infrastructure. 

Saracen reported last month that Carosue Dam churned out record production of 50,600 ounces in the September quarter, up from 45,800 ounces in the previous three-month period.

GR said work at the mine, 120km north-east of Kalgoorlie, is expected to be completed in the first half of the next financial year. 

“GR Engineering is pleased to again be working with Saracen to deliver improvements to its mineral processing facilities at Carosue Dam,” GR Engineering Managing Director Geoff Jones said.

“Having been involved in the initial development of Carosue Dam in 2000, our team has maintained a strong relationship with Saracen and utilised its understanding of the project to deliver incremental benefits to the project.”

In August GR reported a 44 per cent drop in annual profit to $6.5 million as revenue fell 36 per cent to $182 million because of reduced work volumes. 

The company said 2019-20 profit would be weighted to the second half but it is set to update investors further at its annual meeting on November 28.