Outotec has signed a six-year service contract with ZAO Tominsky GOK, a part of the Russian Copper Company Group, for the future operation and maintenance of the flotation plant and the dewatering and reagent departments of Tominsky copper concentrator, currently under design by Outotec.
The contract is valued at about EUR 100M, and will be gradually booked in Outotec’s order intake starting in the second half of 2014. The main part of the contract will be invoiced as cost per tonne depending on the tonnage of the ore processed once the concentrator plant production starts up in the autumn of 2015. Outotec previously made a similar service contract with CJSC Mikheevsky GOK in January 2013.
The contract is valued at about EUR 100M, and will be gradually booked in Outotec’s order intake starting in the second half of 2014. The main part of the contract will be invoiced as cost per tonne depending on the tonnage of the ore processed once the concentrator plant production starts up in the autumn of 2015. Outotec previously made a similar service contract with CJSC Mikheevsky GOK in January 2013.
The operation and maintenance contract follows Outotec’s earlier EUR 50M contracts from May 2013 for the process design and engineering of the entire Tominsky concentrator and the delivery of the main process equipment for flotation and dewatering, process automation, instrumentation and electrification.
As part of the signed contract, Outotec will supply spare and wear parts and reagents for the equipment under its scope of delivery, as well as operation and maintenance management systems for the concentrator, including remote monitoring combined with Outotec Proscon process automation. This enables efficient plant operation and process optimization for recovery, concentrate grading and reagent consumption.
The new service contract is expected to provide significant cost saving synergies for Tominsky GOK, adding to the benefits of the Mikheevsky GOK concentrator service delivery agreed earlier this year.