- Alltype Engineering, a subsidiary of WestStar Industrial (WSI), has been awarded a $12 million contract from Lynas Rare Earths (LYC)
- Under the contract, Alltype will construct and install a kiln, discharge hood, discharge end building, piping and electrical works at Lynas’ rare earth processing facility in Kalgoorlie
- Preliminary work is set to begin immediately with completion expected by Q2 2022
- WestStar has also announced it has received firm commitments to undertake a $3.5 million placement and will use the money for general working capital
- Shares in WestStar are up four per cent on the market and are trading at 2.6 cents
Alltype Engineering, a subsidiary of WestStar Industrial (WSI), has been awarded a $12 million contract from Lynas Rare Earths (LYC).
Under the contract, Alltype will construct and install a kiln, discharge hood, discharge end building, piping and electrical works at Lynas’ rare earth processing facility in Kalgoorlie.
This processing facility will treat rare earth concentrate from Lynas’ Mt Weld mine and produce rare earth carbonate, which will be packaged and transported to Fremantle for export to the Lynas Malaysia advanced materials plant.
Alltype is set to begin preliminary work immediately with completion expected by Q2 2022.
Alltype Managing Director Kelvin Andrijich is pleased with the contract.
“We are pleased that Lynas has recognised the experience and capability of our delivery team and the proven self-execution multidiscipline construction capability of Alltype Engineering in the gas, energy, petrochemical and minerals processing industries,” said Kelvin Andrijich, Managing Director of Alltype..
“Alltype Engineering has previously undertaken balance of plant scopes around rotary kilns on operational mineral sands and lithium processing sites in the past and we are excited to now be completing the entire turnkey package in addition to those works.”
WestStar has also announced it has received firm commitments to undertake a $3.5 million placement.
The company entered a trading halt on November 8 but did not disclose how much it intended to raise or what it would use the funds for.
Roughly 152.2 million fully-paid ordinary shares will now be issued to institutional and sophisticated investors at 2.3 cents each.
Participants will also receive one free attaching unlisted option for every two shares subscribed for, exercisable at three cents with expiry 18 months from issue.
WestStar will use the money for general working capital.
Shares in WestStar were up four per cent on the market and were trading at 2.6 cents at 1:01 pm AEDT.