The Board of Stanmore Resources Ltd has announced that PIMS Mining has been awarded a five year underground mining services contract for A$425 million by its 50% owned Millennium and Mavis Downs Mine Joint Venture (MetRes). Awarding of this contract marks another major milestone in re-opening the mine following restarting of auger and open-cut operations in Q3 2021.
The contract covers underground metallurgical coal mining using the bord and pillar method, commencing at Mavis Downs and later transitioning to Millennium. Production will be over 1.2 Mt run of mine per annum from July 2022.
The statement said: “With A$80 million to be spent on infrastructure, civil works and locally built mining equipment the mine represents a boost to the Australian economy as Queensland continues to recover from COVID-19. The contract also creates up to 100 mine construction jobs and more than 125 direct full-time mining jobs for the region. By extracting full value from the existing mining leases the operation will continue to deliver employment and economic activity to the region.”