Mexican mining company Peñoles Group has awarded a €60m contract to Finland’s Outotec to deliver technology and site services for the expansion of Met-Mex Peñoles’ zinc production facilities in Torreon.

Using Outotec’s direct leaching technology, Peñoles aims to expand its annual zinc production capacity by 100,000t.

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Under the terms of the contract, Outotec will supply the technology, engineering and licence for atmospheric direct leaching of zinc concentrates and downstream process areas.

"The flexible process has the capability to yield high metal recovery with low-energy consumption and emissions."

The company will also deliver proprietary and auxiliary equipment for the OKTOP reactor plant, in addition to its advisory services for installation, commissioning and ramp-up.

According to Outotec, the flexible process has the capability to yield high metal recovery with low-energy consumption and emissions. It would also increase operational safety.

Deliveries are expected to take place between now and 2017.

Outotec Americas region head Kimmo Kontola said: "For the expansion of the zinc plant, they needed a process that can handle a wide variety of feed materials, while operating sustainably in the city of Torreon.

"Our direct leaching solution solves the challenges that Peñoles had with this project. It fulfills the strict environmental regulations of this urban area, and our process guarantees with extended service support underline the commitment to sustainability of both parties."

The latest order will be booked in Outotec’s 2015 second quarter order intake.

Refined silver producer Peñoles has integrated operations in smelting and refining non-ferrous metals and producing chemicals.