Compass Minerals Sign Letter of Intent to Engage Cementation as the Prime Contractor for the Goderich Mine Shaft Upgrade Project

August 14, 2014

NORTH BAY – Cementation Canada has been issued a Letter of Intent by Compass Minerals to carry out the shaft rehabilitation and upgrades of two mineshafts that Compass Minerals operates at their mine in Goderich, Ontario. The letter of intent will allow engineering on the work to commence while a contract is finalized.

“The relining of the shaft walls will extend the life of the mine and reduce safety and operational risks,” said Jack Leunig, Compass Minerals Senior Vice President of Operations. “The project will also enable us to fully achieve the 9 million tons of annual hoisting capacity we have at the mine.”

When the tenders were submitted for the shaft upgrade project, Cementation proposed some alternate approaches to the design and installation of the new liners which reduced risk to the mine operations and were of interest to Compass Minerals. Further work with the Compass Minerals technical team continues to examine innovative approaches that will add value to the project.

According to Michael Marksberry, Compass Minerals Director of Engineering and Project Lead, “Cementation presented a very good proposal and organization to Compass Minerals. We feel they bring the expertise, resources, and experience necessary to ensure success on a challenging project, such as ours in Goderich. The history and familiarity they have with the mine is certainly an added benefit. We look forward to actively collaborating with them to make this project a true example of a ’win-win‘ initiative.”

“We are very pleased to be working with Compass Minerals and the Goderich mine team on this significant and technically challenging project. The Cementation group has a long history of work at the salt mine and we recognize the importance of this project to Compass Minerals and the operations,“ said Roy Slack, President of Cementation Canada.

The current Cementation Canada group was formed in 1998, but a former Cementation group sunk the original shafts: the number 1 shaft completed in 1959, and the number 2 shaft in 1968. More recently the group has carried out smaller projects for the mine and is familiar with the site and the operations.

Engineering work has commenced on the project with onsite construction and surface setup scheduled for later this year.

About Cementation:

Cementation is an underground mine contracting and engineering company. The company’s engineering, procurement and construction capabilities are fully integrated to deliver feasibility, design and construction services within a seamless project cycle. Cementation Canada Inc., Cementation USA Inc., and Cementation Sudamérica S.A. are part of the Murray & Roberts Underground Mining Platform with operations around the world. For more information on Cementation visit www.cementation.com.

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