Nyanzaga Contract Win: What Risks Lie Ahead for Lycopodium?

Mining By Maxwell Dee 2 min read 9:42am on Wednesday 30th of July, 2025 AEST

Lycopodium Limited has won a significant A$48 million EPCM contract from Perseus Mining to develop the Nyanzaga Gold Project in Tanzania, marking a third major collaboration between the two companies. The project aims for first gold production by early 2027.

A$48 million EPCM contract awarded to Lycopodium
Development of Nyanzaga Gold Project in Tanzania
Contract includes engineering, procurement, construction management, commissioning
First gold production expected in Q1 2027
Third major project partnership between Lycopodium and Perseus Mining

Image source middle. ©

Lycopodium’s Strategic Win in Tanzania

Lycopodium Limited, a global engineering and project management firm, has secured a substantial contract valued at approximately A$48 million to deliver Engineering, Procurement, and Construction Management (EPCM) services for Perseus Mining’s Nyanzaga Gold Project in Tanzania. This contract represents a continuation of a fruitful partnership between Lycopodium and Perseus, following their successful collaborations on the Sissingué and Yaouré gold mines in West Africa.

Project Scope and Timeline

The Nyanzaga project is situated in the Sukumaland Archaean Greenstone Belt, near Mwanza, Tanzania’s second largest city. Lycopodium’s scope encompasses the design and construction management of a 5 million tonnes per annum carbon-in-leach processing plant, alongside critical infrastructure such as power reticulation, water supply from Lake Victoria, tailings management, and workshop facilities. Work has commenced immediately, with first gold production targeted for the first quarter of 2027.

Building on Established Expertise

Lycopodium’s Managing Director and CEO, Peter De Leo, highlighted the company’s deep familiarity with the project, having contributed to earlier feasibility studies and engineering design phases. This continuity is expected to provide confidence in delivering the project on time and within budget. The Nyanzaga deposit will initially be mined via open pit methods, with potential for future expansion into underground mining, suggesting a long-term operational horizon.

Implications for Lycopodium and Perseus

This contract not only reinforces Lycopodium’s position as a trusted partner in African mining projects but also signals Perseus Mining’s commitment to advancing its Tanzanian assets. The project’s scale and timeline imply a meaningful contribution to Lycopodium’s near-term revenue and underscore the company’s capability to manage complex, multidisciplinary mining projects globally.

Bottom Line?

Lycopodium’s latest contract win cements its role in Africa’s gold mining expansion, with eyes now on execution and delivery milestones.

Questions in the middle?

What are the detailed intermediate milestones and timelines for the Nyanzaga project?
How will Lycopodium manage potential regulatory and operational risks in Tanzania?
What impact will this contract have on Lycopodium’s financial performance in upcoming quarters?

Mining Gold Mining Engineering Contracts African Mining Projects Project Development

Disclaimer: This site provides general informational content only and does not constitute financial advice, investment recommendations, or an offer to buy or sell any securities. All content is provided "as is" without warranties of any kind. Investments carry risk, and independent professional advice should be sought before making decisions. Middle Enterprises Pty Ltd. and its contributors accept no responsibility for any loss arising from reliance on this content. If you believe an article contains an error or issue, please provide feedback. For more, read our editorial guidelines.