LCR Group has been appointed to undertake all mining and haulage operations at the Urquhart bauxite project on Cape York.

Metallica Minerals announced today that its subsidiary had entered into a schedule of rates contract with LCR.

LCR will be responsible for the supply of all equipment and personnel for the mining and haulage operations and will perform all short-term planning and management to deliver bauxite from the project to Hey Point, where it will be transhipped via existing infrastructure into ocean-going vessels.

“Metallica is excited to work with an experienced and relationship based group like LCR on a long-term basis, thereby delivering certainty and value for all stakeholders,” Metallica chief executive Simon Slesarewich said.

“This contract further de-risks the delivery of production from the Urquhart bauxite project in Q3 CY2017.”

LCR have agreed to capitalise their mobilisation, as well as the design and construction of the haul road linking the project to Hey Point.

Mobilisation is due to commence following satisfaction of a number of conditions, including the grant of a mining lease.