Sedgman, a subsidiary of the ACS Group, has been appointed as the preferred engineering, procurement and construction management (EPCM) contractor for the Colossus Rare Earth Project in Brazil’s Minas Gerais region.
Viridis Mining & Minerals made the decision as part of the project’s ongoing development, which is considered one of the world’s most significant ionic adsorption clay (IAC) rare earth ventures.
The contract will begin with a bridging phase, under which Sedgman will undertake detailed engineering design and procurement activities ahead of a final investment decision.
Following this, the company will continue to provide EPCM services alongside its Brazilian partner, Blossom Consult.
The partnership will combine Sedgman’s global minerals processing expertise with Blossom’s project delivery capabilities in Brazil to support the project’s execution, commissioning and operational ramp-up.
The Colossus project is situated in the Poços de Caldas region and is expected to become a significant source of mixed rare earth carbonate (MREC).
The site has an ore reserve of 200.1 million tonnes, containing approximately 579,000t of total rare earth oxides (TREO), suggesting a 25-year mine life and a potential reserve inventory lasting up to around 41 years.
Sedgman said the appointment reinforces its continued involvement in critical minerals projects worldwide and aligns with its strategy of delivering integrated solutions as clients progress their developments.
Viridis Mining & Minerals reported last month that it has secured commitments for up to nearly $120m in strategic equity funding to advance the project.
The funding was provided by ORE Investments, One Investment Management, Régia Capital and several existing institutional shareholders. It is expected to give Viridis more than $150m in identified equity, exceeding its project finance requirement of $135m for Colossus.
The Colossus project is designed to incorporate progressive rehabilitation, non-hazardous residue backfilling and a Zero Liquid Discharge system, avoiding conventional tailings facilities and promoting recycling of water and reagents.
These measures aim to reduce the environmental footprint and support long-term sustainability as the project moves towards establishing downstream processing capability for Brazil's critical minerals sector.
In June this year, Sedgman was contracted to carry out the front-end engineering design (FEED) for E3 Lithium’s Clearwater Project in Alberta, Canada, which is valued at C$3.4bn ($2.46bn).
