Barminco has signed the company’s largest contract in its 21-year history with the renewal of its contract with AngloGold Ashanti Australia to deliver underground mining services at Sunrise Dam, located 56 km south of Laverton, Western Australia. The contract encompasses all underground mine operating activities including development and production – annually 600,000 t of ore and 7,500 m of development.
The five year contract (with a potential three year extension) is worth an estimated A$500 million over the five years, making it the second largest underground mining contract to be awarded in Australia and the largest contract ever awarded to Barminco. Barminco was awarded its first contract at Sunrise Dam in October 2003. The contract was rolled over in December 2007 and again this week. The current announcement comes hot on the heels of Barminco being awarded the three year A$60million underground mining services contract for Western Areas’ Spotted Quoll nickel mine near Hyden.
Barminco CEO Neil Warburton said AngloGold Ashanti’s renewal of this significant contract was recognition of Barminco’s ability to consistently deliver industry best safety and productivity performance. “The longer-term renewal of this significant contract with such a high caliber client demonstrates a partnership that has grown over many years delivering key performance outcomes for AngloGold Ashanti and a high level of confidence in Barminco.
“It is testament to our ability to deliver value to our clients and demonstrates our commitment to ensuring Barminco is a leader in underground mining. We have a genuine commitment to delivering the highest standards to this project, and indeed across all projects. We are extremely pleased to be continuing our relationship with AngloGold Ashanti and look forward to expanding this relationship as we grow our business domestically and internationally, Warburton said.”
AngloGold Ashanti Australia EVP Graham Ehm said the company was very pleased that Barminco had fully embraced AngloGold Ashanti’s new operating model, in which there was a well-defined business process framework. “This contract is defined by a close working relationship aimed at continuous improvement in productivity and efficiency.”