Sodexo is set to deliver more services for Westgold Resources after the two companies agreed to broaden their contract to include a fourth mine site in Western Australia.
This contract amendment, which will see the company start work on the Big Bell site, increases the value of Sodexo’s current contract with the Australia-based gold miner to A$40 million ($27.2 million).
Under this contract, Sodexo is scoped to deliver all village, transportation, catering, cleaning, building maintenance and landscaping services at the site.
The Big Bell site, located 24 km northwest of Cue in Western Australia, was launched on June 1, 2019, to support operations at the Big Bell underground mine, as part of the larger Cue gold operations. This would see daily commute times reduced, while ensuring worker facilities are readily available.
Westgold hit first ore at the Big Bell underground mine late last year. It had been dewatering and refurbishing the Big Bell underground mine for over two years. The base load for the Cue 10-year development plan is based around the Big Bell underground mine – which is expected to provide 10.1 Mt at 3 g/t Au from the company’s 2020 financial year.
Sodexo’s existing work with Westgold to provide services to the Cue, Fortnum and Bluebird mining sites is part of a three-year contract that commenced in June 2018. The Big Bell contract will conclude in 2021 in alignment with the contract for these sites.
Westgold Director of Operations, Steve Norregaard, said: “Sodexo continues to demonstrate its commitment to maintaining safety and quality operations for our mining workforce. The Big Bell mine is accelerating fast to become the cornerstone asset in the Cue operations. Sodexo’s facilities management services to the Big Bell mine site give us peace of mind that workers will be provided access to high-quality facilities and a home-away-from-home experience.”
Sodexo CEO Mining APAC, Paul Cooper, said: “Australian mining is a sector where Sodexo continues to excel. The company successfully demonstrated its dedication to service excellence by improving village life across three of Westgold’s existing sites and this supported our proposal for Big Bell. Being awarded the Big Bell contract is testament to a strong working relationship with Westgold, after acquiring Morris Corporation that had previously held the contract for three years.”