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Savannah. Image: Panoramic Resources

Panoramic Resources has selected Barminco as its preferred contractor for the Savannah project in the Kimberley region, Western Australia.

The contract, which is worth around $200 million will see Barminco complete mine development, production and haulage over a period of three years.

Barminco will employ around 170 people and use predominantly new equipment to complete the work.

Underground chief executive officer Paul Muller said Barminco and its parent company Perenti were delighted to have been selected as the preferred contractor for Savannah.

“We look forward to working closely with Panoramic Resources in driving the development of the Savannah North orebody safely and efficiently as it ramps up to full production,” Muller said.

“This project demonstrates our ability to capture organic growth opportunities whilst further embedding itself as a leader in underground mining,” Perenti managing director Mark Norwell added.

The Panoramic-owned Savannah project is a nickel-copper-cobalt project 110 kilometres north of Halls Creek.

Panoramic recommenced mining operations at Savannah in late 2018 after it was placed on care and maintenance two years prior.

The first shipment of concentrate from Savannah departed Wyndham Port in February last year.

Panoramic is developing the higher-grade Savannah North orebody towards a full production ramp up in 2020.