STRACON is pleased to announce that we have been selected by Rio2 Limited as the primary mining services contractor for the Fenix Gold Project located in Chile.

Both companies have signed an early contractor participation agreement (ITC Agreement) that involves all early works associated with mining services. Under the ITC Agreement, the parties will work exclusively over the next few months to further optimize the mining and civil construction of the project and conclude the contract documentation.

The scope of the mining services contract will include the extraction of mineral at a rate of 7.3 million tons per year (20,000 tons per day), waste removal, drilling, blasting, hauling, supply of mining personnel and equipment, management and corresponding supervision, dust suppression, and road maintenance. The scope also includes the transportation of water from Copiapo to the mine and the maintenance of all required mobile equipment fleet, as well as all pre-mining and civil construction activities, including the construction of leach pads, ponds, access roads, and waste dumps.

STRACON is excited to work with Rio2’s team and all project stakeholders to successfully build and operate the Fenix Gold Project in Chile. The project will be executed under a collaborative alliance agreement, a scheme that STRACON has successfully used over the past 10 years in several of its projects throughout Latin America. Their commitment to providing safe and efficient services, combined with their experience in building and operating Greenfield projects similar to the Fenix Gold Project, allows them to be in the ideal position to meet all of Rio2’s construction and mining requirements.

As Alex Black, President and CEO of Rio2, stated: “Signing this ITC Agreement with STRACON, a renowned mining and civil construction services provider in Latin America, is a key part of Rio2’s strategy in preparation for the construction phase of our Fenix Gold Project next year. The Rio2 management team is pleased to be working once again with STRACON, this time in Chile, and we are excited to further optimize the mining and construction solution for the project and conclude the contract documentation in preparation for next year’s work program.”

This new project will contribute to STRACON’s consolidation as a leading company providing mining and construction services throughout the Americas.