Viridis Begins Colossus Engineering Ahead of FID

Colossus Work Begins Before Final Investment Decision

Viridis Mining and Minerals Limited (ASX:VMM) is committing up to US$3 million to advance its Colossus rare earths project before making the final investment decision, a move designed to protect the company’s targeted 2028 production schedule. Sedgman and Brazilian engineering provider Blossom Consultoria e Assessoria have been selected as the preferred engineering, procurement and construction management partner following a competitive tender process.

The distinction matters. Viridis has not yet committed to the full EPCM contract: that appointment remains subject to final contractual terms and FID. Instead, the company is using a pre-FID Bridging Phase to move detailed engineering towards design freeze, refine procurement plans, manage long-lead equipment already awarded and prepare further packages for tender.

Sedgman and Blossom Bring Local Delivery Capability

The proposed delivery model combines Sedgman’s international project execution and procurement capability with Blossom’s engineering presence in Belo Horizonte, Minas Gerais. Viridis says the structure will connect teams in Perth, Belo Horizonte, Canada and the Poços de Caldas project site, with Brazilian engineering and project delivery experience at its centre.

Sedgman and Blossom have also completed a limited “Cold Eyes” review of the Definitive Feasibility Study design. Viridis says that review identified opportunities for further capital optimisation during execution, although the announcement does not quantify any potential savings.

Critical-Path Packages Move Ahead of FID

The company’s execution schedule identifies equipment orders and EPCM activities that need to advance before FID if Colossus is to maintain its planned timetable. The 138kV grid connection contract and first major long-lead equipment order are already part of that effort, alongside the residue pressure filtration package.

Once FID is reached, the project is expected to move into full construction, including the completion of engineering and procurement, site establishment, equipment installation and commissioning. The schedule underpinning the DFS points to operational ramp-up and targeted steady-state production in October 2028, but that remains a forward-looking target dependent on the intervening financing and execution milestones.

Funding Hold Point Keeps Exposure Limited

Viridis says the bridging structure allows it to mature the project without committing to the full EPCM value before FID. That limits the company’s immediate financial exposure while putting the engineering and procurement machinery in place for a faster transition into construction.

The next meaningful test is therefore not the appointment announcement itself, but whether the preferred arrangement converts into a final EPCM contract alongside FID. Until then, Colossus has gained execution momentum, but its 2028 timetable still rests on financing completion, equipment delivery, construction and commissioning proceeding in sequence.