Forrestania awards $104m Johnson Range open-pit mining contract to MEGA for full operational services

xo Industry News 2026-08-31 4

Summary:Forrestania awards $104m Johnson Range open‑pit mining contract to MEGA Resources. Explore key milestones for this Western Australia gold project advancing toward commercial production....

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Aerial wide shot of Western Australia open‑pit gold mine site, exploration tenement terrain 

Forrestania Resources has awarded a $104m mining contract to MEGA Resources for its Johnson Range gold project in Western Australia, marking a critical milestone as the asset moves from feasibility assessment to active site execution. This two‑year open‑pit mining contract follows a formal competitive tender process, and the appointment unlocks on‑site works including drill‑and‑blast, ore and waste haulage, site infrastructure build‑out and full operational support for the gold deposit.

The Johnson Range gold project hosts a JORC‑compliant mineral resource of 130,730 ounces of gold at 1.99 g/t from 2.04 million tonnes of ore, positioned within the prolific Yilgarn greenstone belt north of Southern Cross, Western Australia. Ore mined from Johnson Range will feed the nearby Lake Johnston processing hub, where refurbishment work is progressing in parallel to align with the mine site timeline. MEGA Resources was selected as preferred mining contractor based on its local Western Australia track record, technical capacity and mining fleet readiness to deliver the large‑scale open‑pit scope safely and on schedule.


Project Contract Key SpecificationsDetails
Base contract valueUSD 104 million (AUD 145 million)
Contract term2‑year open‑pit mining campaign
Project ownerForrestania Resources
Mining contractorMEGA Resources
Core scopeDrill‑and‑blast, mining, ore‑waste haulage, site infrastructure, operational support
Commencement triggerPost completion of final site readiness and mobilisation activities
Target ore destinationLake Johnston processing hub

Forrestania executive chairman David Geraghty noted that awarding this major mining contract represents years of technical and commercial work to de‑risk Johnson Range, and the company will collaborate closely with MEGA to prioritise safety, operational efficiency and shareholder value delivery across the mine lifeinvestors..... For MEGA Resources, the $104m contract substantially strengthens its project backlog, securing multi‑year fleet utilisation and expanding its footprint within Western Australia’s competitive gold mining services sector.

Beyond the mining services award, parallel progress continues at the Lake Johnston processing facility. Refurbishment of the existing plant is ongoing, with long‑lead equipment items secured to match the forecast ore delivery schedule from Johnson Range. Local community engagement also forms part of the overall development plan, with separate civil and road maintenance work awarded to indigenous‑owned contractor Marlee Resources for site access infrastructure.

Within Australia’s gold development landscape, Johnson Range joins a pipeline of open‑pit gold projects advancing toward production. Project execution risks remain, including site mobilisation timelines, operational productivity, and market gold price volatility. Even so, the binding mining contract award provides high‑visibility certainty for capital markets monitoring Forrestania’s transition into gold producer status.

Looking ahead, site mobilisation will kick off once all pre‑construction readiness activities are finalised. Market participants will watch operational ramp‑up performance, ore feed consistency to Lake Johnston mill, and any potential contract scope extensions as further operational milestones for the Johnson Range gold asset.

In conclusion, the $104m Johnson Range mining contract between Forrestania and MEGA Resources delivers a clear execution roadmap for one of Western Australia’s emerging gold deposits. Successful delivery of this open‑pit campaign will underpin Forrestania’s production ambitions while reinforcing MEGA’s position as a key mining service provider across WA goldfields.


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