Further to the its previous market update on 18 October 2017, Macmahon Holdings has advised that it has executed the final mining services contract for the Byerwen Coal project. The three year contract is worth approximately A$350 million in revenue to Macmahon and includes the provision of all open cut mining and bulk earthworks at the new Byerwen Coal mine near Glenden in Queensland’s Bowen Basin.

To date, Macmahon has been operating under a preliminary works agreement and has made good progress on site since commencing operations in August. The Byerwen coal project is owned and operated by QCoal Group, and once operational the will produce up to 10 Mt of hard coking coal per year. Coal from the Byerwen mine will be railed to Abbot Point Coal Terminal for export. Byerwen Coal was granted the mining leases required for the project in May 2017. QCoal Group is an independent Queensland-based company that has been active in coal exploration, discovery and development since 1989.