Forrestania Resources (ASX:FRS) has entered into a heads of agreement valued at up to $58.5 million with Polaris Engineering Services to advance the transformation of the Lake Johnston processing facility in Western Australia.
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Purchased in November CY25, the Lake Johnston nickel processing plant is being modified into a gold-producing facility. The expanded engagement with Polaris includes leading design partner Mincore and the construction of a new carbon-in-leach circuit and broader plant scope refurbishment.
Upon completion of the CIL circuit, the Lake Johnston facility is expected to deliver a throughput capacity of approximately 3.2M tonnes per annum (Mtpa).
Forrestania chairman David Geraghty said the HoA represents the next stage in the staged refurbishment and recommissioning of the Lake Johnston processing facility.
“This agreement represents a defining step in establishing Lake Johnston as a production-ready gold processing hub,” he told shareholders today. We have worked closely with Polaris for months through early engagement, and this expanded scope reflects the strength of the relationship.”
“This builds on the previously announced crushing circuit refurbishment and reflects Forrestania’s strategy of awarding discrete development packages in a structured and capital- efficient manner. Together, these components are expected to establish a fully integrated gold processing facility, providing Forrestania with the core infrastructure required to transition into gold production.”
Mr Geraghty said Forrestania is rapidly assembling the core infrastructure required to transition into production. “Importantly, the scale and design of the plant provide a long-life processing solution capable of supporting both internal resources and potential third-party ore sources,” he explained.
The CIL commissioning is scheduled to commence in November CY26.
FRS is steady at 43c heading into Friday.
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