en.Wedoany.com Reported - Ora Banda Mining Ltd (ASX:OBM, OTC:ESGFF, FRA:M6N) has awarded GR Engineering Services Ltd (ASX:GNG) a $233 million engineering, procurement, and construction contract for the construction of a 3 million tonnes per annum processing plant at the Davyhurst Expansion Project in Western Australia.
The contract requires the construction of a new processing plant, which is the core component of the Davyhurst Expansion Project. GR Engineering was previously selected as the preferred contractor for the project on May 18, 2026. This capacity build will support Ora Banda in increasing processing capacity and enhancing long-term production conditions for its gold operations. For GR Engineering, this order will bolster its contracted work pipeline for the 2027 and 2028 financial years and strengthen its market position in the design and EPC delivery services for processing plants in the resources industry.
GR Engineering Managing Director Tony Patrizi stated that the company is pleased to continue its collaboration with Ora Banda, viewing the contract award as a strong endorsement of GR Engineering's process design record and EPC delivery capabilities. The company will continue to build its contracted work pipeline in the 2027 and 2028 financial years.
Ora Banda recently approved an expansion strategy named "DRIVE to 300," aiming to double gold production over the next three years to achieve a long-term production target of approximately 300,000 ounces per year. This production target is aspirational and does not constitute formal guidance; there is currently no reasonable basis to indicate that the target is achievable. The core of the strategy involves constructing a new 3 million tonnes per annum processing plant at Davyhurst, while developing the Waihi underground mine and significantly increasing available funding capacity.
Company Managing Director Luke Creagh stated that DRIVE to 300 represents the next phase of Ora Banda's transformation into a larger-scale Western Australian gold producer, building on the success of the DRIVE to 100 and DRIVE to 150 growth phases. It is currently expected that the production doubling can be internally funded and has the potential to add substantial value, positioning Ora Banda as a long-term sustainable gold business.
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