Following the completion of a competitive tender process, Wagners says it has secured a new haulage services contract with McArthur River Mining Pty Ltd (MRM), a subsidiary of Glencore, for the haulage of zinc and lead concentrate from McArthur River Mine, in Queensland, Australia, to the Bing Bong Loading Facility and the Mount Isa Mines metal processing facility.

Glencore owns and operates combined surface mining, underground mining, processing and smelting operations in Queensland and Northern Territory for the production of zinc, lead and copper concentrate. This includes the mine which is operated by MRM.

Wagners’ scope of works will include the loading of the zinc and lead concentrate at the mine and its haulage to both the Bing Bong Loading Facility and the processing facility in Mount Isa. The haulage services will operate 24 hours a day, seven days a week throughout the term with haulage services planned to commence in December 2021.

Based on forecast haulage requirements, the contribution to the company’s revenue over the contract term is expected to be in the vicinity of A$33 million ($24 million), Wagners said. This will remain subject to the mine’s production and ability to make the required volume of material available to meet the haulage tonnage forecast.

Wagners’ Chief Executive Officer, Cameron Coleman, said: “Wagners has a long-standing relationship with Glencore and is very grateful to be provided with the opportunity to service the McArthur River Mine operations in the delivery of these haulage services, which is a new project for us. This project will provide many employment opportunities throughout both the Northern Territory and Queensland and will require substantial capital investment to increase our haulage fleet, demonstrating Wagners’ commitment to this area of our business and the resources sector.”