Aker Kvaerner Australia Pty Ltd will design the full scale heap operation and the metallurgical plant and determine the capital and operating costs for the bankable feasibility study. The estimated capital cost of the full-scale project is approximately USD 150 million with start of construction expected in early 2006 and first shipments of product in 2007.

Mr Simon Purkiss, Managing Director of European Nickel said "Early performance results from the heap leach studies are very encouraging - Aker Kvaerner's nickel expertise and experience in similar projects will assist us in developing this project to completion ".

Aker Kvaerner Australia Managing Director, Mr Tom Quinn, said,"European Nickel were seeking an experienced global engineering and construction partner to execute this project, we are pleased to be able to provide a strong team to assure the best possible outcome".

There are synergies between the work Aker Kvaerner Australia is executing for European Nickel and BHP Billiton, a minority shareholder in European Nickel. Aker Kvaerner Australia is currently executing a small engineering, procurement and construction management contract for a trial separation unit to process downstream liquor from European Nickel's pilot plant with the involvement of BHP Billiton.

The Caldag bankable feasibility study project will be executed from Aker Kvaerner Australia's Brisbane office, where they have developed a strong core process team with heap leach expertise. The project will also draw on specialist expertise from other Aker Kvaerner companies, such as the seconding of heap leach experts from Aker Kvaerner E&C Worldwide Corporation in Santiago, Chile. 

ENDS

 

 

 

Media:
Renee Mead, Communications Officer, Aker Kvaerner Australia: +61 3 9272 3256

Torbjorn Andersen, SVP Group Communications, Aker Kvaerner: +47 928 85 542

 

Business Development:
Tom Hunter, Business Development Manager, Metals. Tel: +617 3246 9149

 

NOTES TO EDITORS

AKER KVÆRNER ASA, through its subsidiaries and affiliates ("Aker Kvaerner"), is a leading global provider of engineering and construction services, technology products and integrated solutions. The business within Aker Kvaerner comprises several industries, including Oil & Gas, Refining & Chemicals, Mining & Metals, Pharmaceuticals & Biotechnology, Power Generation and Pulp & Paper. The Aker Kvaerner group consists of a number of separate legal entities. Aker Kvaerner is used as the common brand/trademark for most of these entities. The parent company in the group is Aker Kværner ASA.  Aker Kvaerner has aggregated annual revenues of approximately NOK 35.6 billion and employs approximately 22,000 people in more than 30 countries.

 

Oil, Gas, Process & Energy executes technology development, engineering and construction services for industries as diverse as Oil & Gas Onshore and Offshore Developments, Chemicals & Polymers, Pharmaceuticals, Government Services, and Mining & Metals. With an annual turnover of US$1.14 billion, Oil, Gas, Process & Energy (OGPE) business area of Aker Kvaerner employs more than 5,400 people operating worldwide.

Aker Kvaerner Australia is a leading project management and engineering contractor, providing industrial clients throughout the oil & gas, refining, chemicals, power, non-ferrous metals, iron ore and steel industries with design and project management services and innovative technology solutions. Aker Kvaerner Australia is organised as a subsidiary under the business area Oil, Gas, Process & Energy.

This press release may include forward-looking information or statements and is subject to our disclaimer, see our web-pages www.akerkvaerner.com