AGR proceeds with WA production facility expansion

Australian Gold Reagents’ (AGR) Board has made a final investment decision to proceed with the expansion of its sodium cyanide production facility in Kwinana, WA.

According to AGR, this positions the company as one of the world’s largest sodium cyanide producers for the gold mining industry.

AGR general manager Barney Jones says the expansion will enable the business to meet the growing global demand for sodium cyanide for gold mining operations, while delivering on its sustainability goals.

“The expansion will increase AGR’s annual sodium cyanide production capacity by over 30%, bringing total sodium cyanide solution capacity to approximately 130,000tpa,” he said.

“It also includes an increase in our solids production capacity to facilitate increased exports to our international customers.

“Sodium cyanide plays a critical role in the extraction of gold from ore and the expansion will allow us to meet rising demand from gold producers across Australia, Asia, Africa, the Americas and the Middle East.

“The expanded plant will connect into established infrastructure at AGR’s existing site, improving our operational efficiencies and providing safety benefits for our team.

“It will ensure we can continue to deliver a reliable and efficient supply chain for our customers, supporting the growth we are expecting to see both in WA gold mining and in our export markets.”

The expansion will also deliver significant environmental benefits, enhancing the plants’ overall sustainability performance.

“One of the key components of the expansion is a new low-emissions incinerator, designed to safely and sustainably destroy waste product generated in the manufacturing process, while minimising greenhouse gas emissions,” Mr Jones said.

“The new incinerator will enable us to significantly increase sodium cyanide production while reducing our greenhouse gas emissions intensity by [about] 28%. It is partially funded by the [Federal] Government, thanks to a $7.5m Powering the Regions Fund grant, which supports industrial decarbonisation.

“Our expansion plans will also enable us to recycle over 70% of wastewater onsite, conserving valuable resources and reducing reliance on external water sources.

“In addition, we’re exploring technology that would use waste heat from the plants’ manufacturing process to generate zero-emissions electricity.

“With this technology, the plant could export clean power to nearby facilities or support the local grid.”

First production from the expanded plant is scheduled for FY26, with full capacity expected to come online in the H2 FY27.