12 November 2020
Sabina Gold & Silver Corp is pleased to report that the detail engineering contract has been awarded and work has commenced on the Goose Mine at its 100%-owned Back River Gold Project in Nunavut, Canada.
After comprehensive evaluation of various construction delivery methods for the Process Plant at Goose, Sabina believes that a modified Engineering, Procurement, Construction Management (“EPCM”) method offers the greatest efficiency, flexibility and risk mitigation for development of the Goose Project.
This delivery model includes completion of detail engineering in a reimbursable cost model for engineering and procurement directly sourcing major process equipment, and pursuit of a fixed price construction bid.
Detail engineering will provide definitive material requirements per AACE class II standards (up to 70% project definition) and will result in development of procurement packages and delivery of issued for construction drawings. This approach de-risks the engineering aspect, better defines the execution plan and provides greater certainty of procurement and construction costs. With these details in hand, Sabina will solicit fixed price construction bids for the plant, including performance guarantees.