CIMIC Group’s minerals processing company, Sedgman, has been awarded two contract extensions by QCoal to continue to operate and maintain its Sonoma and Byerwen mines processing plants in Queensland, Australia.

The three-year extensions will generate revenue of A$166 million ($118 million) for Sedgman.

The agreements replace and extend Sedgman’s existing agreements at the mines, continuing CIMIC Group’s long-standing relationship with QCoal.

CIMIC Group Chief Executive Officer, Juan Santamaria, said: “We have a strong history of delivering consistent outcomes for QCoal, through our companies Sedgman and Thiess. Sedgman’s expertise in minerals processing and focus on maximum resource recovery will help drive even greater efficiencies at these mines.”

Sedgman Managing Director, Grant Fraser, said: “These contracts are testament to the partnership we have forged with QCoal over many years, and the integration of our engineering design, project delivery and operations teams.”

Sedgman undertook the engineering design, construction and commissioning of the coal handling and preparation plant at Sonoma in 2007, and has continued to optimise and expand the facility, operating it since 2007.

Sedgman delivered engineering, procurement, construction and commissioning services for a 4,500 t/h train loadout facility and processing plant at Byerwen in 2017, and the engineering, procurement, construction and commissioning of a duplication of the 550 t/h coal handling and processing plant in 2018, operating it since then.