Montreal, QC — SNC-Lavalin Inc. has received the green light to go ahead with work on a mining contract worth about US$355 million in fees for a group led by the Montreal-based engineering and construction giant.
The overall cost of the Cobre Panama copper project in Panama will be about US$6.2 billion, including US$3.2 billion of infrastructure to be overseen by the SNC joint venture group.
SNC has a 70% interest in the joint venture and is partnered by GyM S.A., a member of Grana y Montero Group, and Techint International Construction Corp., each with a 15% interest.
The contract is with Minera Panama S.A., a subsidiary of Toronto-based Inmet Mining Corp., to provide detailed engineering, procurement and construction management services for the project infrastructure component of the project.
Detailed engineering and procurement is to begin immediately and infrastructure construction activities are already in progress at the site, SNC said.
The project is scheduled to be operational in 2016 and the mine is expected to have a life of about 30 years.