Finning (Canada), has secured an extension of its exclusive supplier agreement with Coal Valley Resources and Prairie Mines & Royalty to 2015. These two are collectively the largest producers of thermal coal in Canada. They operate 10 surface mines located in the provinces of Alberta and Saskatchewan producing bituminous, sub-bituminous and lignite thermal coals. The company has also been awarded a renewal of its current lease agreement with Teck Coal.
Under the original five-year contract, Finning (Canada) was the exclusive supplier of mine support equipment and associated parts, accessories, attachments and services, including equipment technology for Coal Valley Resources and Prairie Mines & Royalty’s surface coal mining operations in Alberta. The contract renewal extends this agreement from 2010 to 2015.

“The extension of our exclusive supplier agreement demonstrates both the confidence that our customers have in Finning and our organisation’s commitment to providing a high level of service,” said Dave Parker, President of Finning (Canada).

Under the current lease agreement with Finning, Teck operates approximately 50 large dozers which are employed at six mines in B.C. and Alberta. As part of the lease renewal, Finning expects to replace 30 of the 50 machines currently operating. Approximately, 18 large dozers will be new and 12 will be rebuild units. The equipment leased is valued at approximately C$36 million.

“Teck is a valued customer and we are pleased to build on our long term relationship with this agreement,” said Parker. “Our commitment to our customers has earned us the position of the leading equipment supplier and service partner in the mining sector and we are encouraged by the renewed activity in this industry.”