The Lycopodium Ltd (ASX: LYL) share price is in focus after the company secured a major EPCM contract worth roughly $37 million for the San Cristóbal Silver Oxide Project in Bolivia. The contract will see Lycopodium design and manage construction of a new 15,000 tpd silver oxide processing plant adjacent to the existing operation.
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What did Lycopodium report?
- Awarded a $37 million Engineering, Procurement and Construction Management (EPCM) contract for the San Cristóbal project in Bolivia
- New plant to treat 15,000 tonnes per day of oxidised material, producing silver doré
- Project is a brownfields expansion, complementing the existing 52,000 tpd sulphides processing plant
- Works to commence immediately, with completion targeted for 2030
- Contract is subject to a final investment decision by the client
What else do investors need to know?
The San Cristóbal Mine is one of the world's largest open-pit silver, zinc and lead operations, and this new contract will expand Lycopodium's international footprint. The project presents unique engineering challenges, requiring design and construction at over 4,000 metres above sea level.
The delivery will be a collaborative effort, drawing expertise from Lycopodium's offices in Toronto, Lima, and Argentina. The company highlighted that once complete, both sulphide and oxide plants will run side-by-side, increasing production capacity at the site.
What did Lycopodium management say?
Lycopodium Managing Director and CEO Peter De Leo said:
We are extremely pleased to be given this opportunity to work with Minera San Cristóbal SA in the development of the San Cristóbal Mine. This strategic project positions the mine to become a significant silver producer on a global scale and includes challenges of design and construction at a high altitude, at 4,000 metres above sea level. Execution of the project will include significant collaboration across our Americas team, with input from our Toronto, SAXUM (Argentina) and Lima offices.
What's next for Lycopodium?
Lycopodium will begin work on the San Cristóbal Silver Oxide Project immediately, focusing on engineering and planning while awaiting the client's final investment decision. The company expects strong collaboration across its international teams to deliver the project, with completion forecast for 2030.
This contract strengthens Lycopodium's global pipeline and underscores its capability to deliver large, complex resource projects. Investors will be watching for updates as work ramps up in the Americas.
Lycopodium share price snapshot
Over the past 12 months, Lycopodium shares have risen 57%, outperforming the All Ordinaries Index (ASX: XAO), which is flat over the same period.
