Page 25 - pd285-Aug20-mag-web_Neat

Ghana but with first gold Lycopodium’s COVID taskforce was ini- ful in gold and copper and we are looking
being poured at the com- tially tasked with navigating the company’s at Southern Africa in particular, and other
pany’s newest contract path through lockdown but is increasingly projects which meet our criteria.”
mine, West African Re- looking at what shape the industry will take Both Perenti and Lycopodium believe
sources Ltd’s Sanbrado in a post-pandemic world. their vast African experience will be an
operation in southern De Leo believes the lockdown will ac- even greater advantage in an unsure
Burkina Faso, Norwell is centuate the uptake of technology, includ- world.
confident a turnaround ing remote operations, but also believes it “Old clients are also coming back, we
has begun under the could have an impact on process design. are working with Roxgold [Inc] on Seg-
stewardship of new Sur- “For instance, I think you will see more uela, for instance, having missed out on
face Mining division chief modularisation, to the point that flowsheets their last project, De Leo said. “Endeavour,
executive Scott Winter. could change,” he said. “Then through our West African, Perseus; they have all had
“We have had a lot of Orway subsidiary we are doing a lot of the same experience with us. It is not just
success down the year remote optimisation consulting. They can dumb luck.”
but the last few have take data and interpret it remotely, remov- With construction projects likely to dry
been a bit challenging,” ing the needs to have experts and consults up for the rest of 2020, Lycopodium is ea-
Norwell said. “But, a fly into site. Endeavour, the Tropicana JV, ger to stock the development pipeline with
change in leadership and First Quantum [Minerals Ltd] and Gold more feasibility work.
investment in people and Fields [Ltd] are all using those services.” “Feasibility studies take on added im-
providing the right sup- Perenti’s own COVID taskforce is also portance in this climate,” De Leo said.
port structures has seen looking at the future, including remote ca- “Making a project shovel-ready is very im-
an improvement in the pabilities. portant when there are other risks around.
March quarter.” “One of the areas of focus for the task- So, for a relatively low cost you can de-risk
Lycopodium’s chal- force is developing a broad strategy for the a project and create great value through
lenges have been slightly long term,” Norwell said. “We have a two- optimisation of either the feasibility study
different. The engineer- year outlook of what may eventuate, and or FEED. It can also often shave months
ing group has developed off timeframes as
a reputation for building well. We are doing
the best gold plants in a lot of that work
Africa but has been chal- across a variety of
lenged by the logistical jurisdictions.
obstacles presented by “The cost of a
the pandemic. Manag- feasibility or FEED
ing director Peter De Leo study is usually
said the was working with single percentage
clients such as Perseus digits of the operat-
to ensure the pandemic ing life cycle costs.
did not lead to schedule If you spend 6-8%
slippages. more to get that
“Lycopodium is always right; in the scheme
cost-competitive and pro- of things it is always
vides a quality service, worthwhile.”
but it makes a big dif- Perenti’s bread-
ference having existing and-butter has
relationships and a level our focus is on further adaptability. Inter- been the West African gold scene, which
of understanding of the clients’ needs,” he nally we also want to make sure we have is also undergoing its own transformation
said. captured the best aspects of this when we via corporate activity. Norwell said the
The company was also taking a proac- enter the new normal; how we can work company’s reputation meant M&A usually
tive approach to the realities facing pro- differently and better.” created new opportunities.
jects developers and was communicating Both companies are also investigating “The focus is on continuing to deliver
options to clients, according to De Leo. ways they will be able to maintain market and if our clients and their operations are
“It is about maintaining conversations share in a new environment. subject to M&A so be it,” he said. “We see
with clients to understand how their worlds “We may have to work a bit differently, it as a positive and a potential opportunity
are evolving,” he said. “It is a new world look at different areas and make sure there if it is going into a larger organisation.”
with new perspectives, and I don’t think is a larger list of potential projects because It is a strange situation when you are
every resource company has it clear in in addition to the usual hurdles there will losing clients to circumstances as dispa-
their head where they are going yet. But be more in this environment,” De Leo said. rate as security risks, global pandemics
in that situation, it is important for us to dis- Norwell agreed but neither executive and market dynamics but Perenti’s perfor-
cuss, not only Plan A, but also Plan B. By appears likely to guide their company mance in the last few years has Norwell
giving the client a say in that transition it away from Africa. confident company and sector will remain
mitigates a lot of confusion and misunder- “We are always mindful of the jurisdic- robust.
standing. tion we are looking at,” he said. “One of the “There are some very positive signs and
“The level of certainty around projects things you hear is ‘Africa’ used as a catch- good momentum in the sector,” he said.
are little challenging but we are work- all tag without any acknowledgement that “Despite everything, this industry is very
ing with clients in Africa, Asia and North it is made up of 54 sovereign states. We resilient.”
America to ensure their projects are shov- are selective about the jurisdiction and the – Dominic Piper
el-ready.” commodities we work in. We are success-

aUSTRaLIa’S PaYDIRT aUgUST 2020 Page 25