Construction, maintenance and mining service group, SRG Global says it has secured a long-term contract with South32’s Worsley Alumina subsidiary in Australia.
The ASX-listed service provider will deliver a “complete suite” of engineered access solutions for the Worsley alumina operation, including scaffold services and highly skilled rope access technicians, it said.
The contract is for an initial three-year term with extension options for a further three years, SRG said, explaining that, if Worsley Alumina exercises the extension options, the total contract duration will be six years.
Works under this contract commence in June and are expected to generate revenues of circa-A$60 million ($41 million) over the six-year term or around $32 million over the initial three-year term, according to SRG.
“The contract requires minimal capital outlay and will increase SRG Global’s workforce by circa-100 full-time positions,” SRG said.
SRG Global Managing Director, David Macgeorge, said, “The opportunity to work with a world-renowned mining company like South32 at its long-established Worsley Alumina project in South West WA is a great achievement for SRG Global. The effort our team put in during the competitive tendering process is admirable and I commend them on a fantastic result.
“This contract also represents a significant advancement in the group’s long-term strategy to deliver recurring term revenue within the asset services sector.”
As part of the Worsley Alumina operations, bauxite is mined near the town of Boddington, 130 km southeast of Perth, Western Australia. It is then transported on the largest overland conveyor belt in the southern hemisphere, for more than 50 km, to a refinery near the town of Collie, where bauxite is turned into alumina.