Tag Archives: Paul Muller

Perenti’s AUMS wins two-year extension at AngloGold’s Geita operation

Perenti Global’s African Underground Mining Services (AUMS) has secured a new two-year contract to continue operations at AngloGold Ashanti’s Geita Mine in Tanzania.

The two-year agreement will take effect immediately and comes with a value of $186 million (100% share).

As part of the new contract, Perenti will transfer 20% of equity in AUMS Tanzania to a newly created mining support services company called BG Umoja Services Limited. BG Umoja is an 80:20 joint venture between Perenti group entities and local drilling services and mining supply company, Geofields Tanzania Limited, which will supply mining support services to the Geita mine.

The establishment of the BG Umoja JV demonstrates Perenti’s ongoing commitment to support and build local capability, generating enduring social and economic value for the regions in which the company operates, Perenti said.

The Geita Complex is located within the Lake Victoria Goldfields of the Mwanza Region, about 120 km from Mwanza and 4 km west of the town of Geita. The Geita Mine was originally an open-pit operation, however, transitioned to an underground operation in 2016. Since this transition, AUMS has worked collaboratively with AngloGold Ashanti to provide a full suite of integrated underground mining services for the mine.

AUMS Tanzania, supported by Geofields, will continue to provide AngloGold Ashanti with underground mining services while facilitating the development of improved underground mining technical capability within the broader Tanzanian workforce.

Mark Norwell, Managing Director and CEO of Perenti, said: “We are very pleased to be continuing our strong, long-term working relationship with AngloGold Ashanti at their flagship Geita Mine.

“Furthermore, this contract extension includes the addition of Geita Hill, a new underground development within the Geita Complex, which will see a steady increase in our scope of works and revenue run rate as the development ramps up from a single heading decline into multiple work areas and then into production later in 2021. This contract extension is expected to generate an improved earnings contribution for Perenti over the contract term.”

Perenti’s Mining Chief Executive Officer, Paul Muller, said Perenti first started operating in Tanzania in the late 1990s and the award of the contract extension at the Geita mine provided it with an opportunity to continue to partner with, and support numerous local businesses, suppliers and contractors.

“We look forward to expanding on these relationships as we seek to create enduring value and certainty for all of our stakeholders,” he said.

Barminco bags A$200 million contract extension at Gold Fields’ Agnew mine

Perenti’s hard-rock underground miner Barminco says it has been awarded a A$200 million ($153 million) contract extension at Gold Fields’ Agnew gold mine in Leinster, Western Australia.

The extension is for full underground mining services, driven by an increase in development and production “physicals” at the mine, Perenti said, adding that Barminco has been operating at Agnew since 2010.

Perenti Managing Director and Chief Executive Officer, Mark Norwell, said: “We are delighted to be extending our relationship with our long-standing client, Gold Fields.

“Part of our 2025 group strategy is to organically grow this part of our business. The recent achievements of Barminco in this regard are a result of the strong relationships we share with our clients and the value we create for them through our world-class underground mining capabilities.”

Perenti Mining Chief Executive Officer, Paul Muller, said: “We have been providing safe and efficient underground mining services at Agnew for more than 10 years and we are very pleased to be supporting Gold Fields with their increased development and production requirements. This extension will take our current term out to December 2023.”

Barminco wins 18-month, A$140 million contract extension at MMG’s Dugald River mine

Barminco has agreed the terms of a variation and extension to its development and production contract at MMG’s Dugald River zinc-lead mine, in north Queensland, Australia.

In addition to several amended contract conditions, the variation extends the term of the contract by 18 months to December 31, 2022, with two, one-year options to extend further. The value of the 18-month extension for Perenti’s hard-rock underground miner is approximately A$140 million ($103 million).

Barminco has been operating at Dugald River since 2012. IM recently reported MMG and Barminco were trialling an automated Sandvik LHD at the mine to further boost production.

Barminco’s Chief Executive Officer, Paul Muller, said: “We are excited to continue our relationship with MMG, which began in 2001 at the Rosebery mine in Tasmania. Dugald River has been a significant project for Barminco since commencement during 2012, and this extension will take our valued relationship with MMG to over 20 years.”

Perenti Managing Director and Chief Executive Officer, Mark Norwell, said Perenti had a “robust” tender pipeline of A$8.8 billion and its Underground Industry Sector Group had secured more the A$540 million in contract extensions this financial year.

Perenti’s AUMS wins two-year extension at Roxgold’s Yaramoko mine

Perenti subsidiary, African Underground Mining Services (AUMS), has been awarded a contract extension at Roxgold’s Yaramoko mine in Burkina Faso.

The contract extension is valued at around A$200 million ($146 million) over two years, from December 2021 to December 2023. It follows on from the existing development and production scope currently being executed, taking the total contracted work-in-hand at Yaramoko to some A$350 million as at the end of August 2020, Perenti said.

AUMS is an operating business unit of Barminco and has been successfully operating at the mine since the development of the Zone 55 portal in 2015. The project, 200 km southwest of Ouagadougou, has now grown to include the Bagassi South mine.

In the June quarter, Yaramoko produced 32,812 oz of gold, according to Roxgold.

Barminco’s Chief Executive Officer, Paul Muller, said: “The high-grade Yaramoko complex is an important project for Roxgold, Barminco and the people of the Yaramoko community. We are very pleased to extend our contract with Roxgold to December 2023 and look forward to continuing to create enduring value and certainty for our client, employees, shareholders and the people of Yaramoko and Burkina Faso alike.”

Perenti Managing Director and Chief Executive Officer, Mark Norwell, said Barminco and AUMS, combined, are a global leader in hard rock underground mining, with this contract extension reinforcing this sector leading position.

Barminco to take on Odysseus nickel mining gig for Western Areas

Perenti’s hard-rock underground miner Barminco has been awarded a development and production contract at Western Areas’ Odysseus mine, in Western Australia.

The contract at Odysseus, part of the Cosmos nickel operation, is valued at around A$200 million ($146 million) over five years and follows on from the earlier rehabilitation works completed by Barminco at the mine.

Western Areas acquired Cosmos in October 2015 and commenced the redevelopment of Odysseus in January 2019. Once in production, Odysseus is expected to produce 14,000-15,000 t/y of nickel concentrate, becoming Western Areas third nickel mine in Western Australia.

Western Areas Managing Director, Dan Lougher, said today (September 8) that excellent progress had been made on the underground and surface infrastructure works at Odysseus, with minimal COVID-19 impacts.

“We have reached a critical milestone with the firing of the full-face development of the Odysseus decline, which is now heading across to the orebody,” he said. “A significant amount of preparation and support work has been delivered across the site to reach this milestone.

“We now have our eye on the delivery of the first ore tonnes mined from underground in the first quarter of financial year 2022.”

Barminco’s Chief Executive Officer, Paul Muller, said the company was excited to continue its relationship with the Western Areas team, which began in 2005 at the Forrestania mine and has now grown to include the Cosmos nickel operation.

“Odysseus is a significant project to bring on-stream, and the five-year term demonstrates the trust and confidence Western Areas has in Barminco to continuously improve and deliver for them,” he said.

Barrick tasks Barminco with turning Hemlo into Tier Two UG gold mine

More than four months after Barrick Gold announced it intended to phase out open-pit mining and move to an underground contract mining model at its Hemlo operations in Ontario, Canada, a contract miner has been named.

Perenti confirmed its underground hard-rock contract mining subsidiary, Barminco, had received the nod from the gold miner, being issued a letter of intent to provide underground contract mining services at the mine, which has produced more than 21 Moz of gold over 30 years of operation.

Under the proposed three-year, circa-A$200 million ($131 million) mining services contract, Barminco will “bring industry-leading technology and productivity to Hemlo in support of Barrick’s goal to modernise and improve the performance of the mine and establish it as a Tier Two asset within its group”, ASX-listed Perenti said.

Barrick previously said the modernisation and refocusing plan at Hemlo was designed to turn it into a Tier Two asset with a life of mine well into the future.

Barminco’s scope includes undertaking mine development, production and haulage, using mining equipment provided by Barrick. Up until recently there was a significant degree of autonomy in the Hemlo fleet including trucks and LHDs from Sandvik and Epiroc.

Barminco said it anticipates employing more than 300 people at the operation, with works commencing in April.

Perenti Group Managing Director, Mark Norwell, said the contract award was another significant step in the group’s international growth strategy to enter attractive and stable mining jurisdictions.

“This is Barminco and Perenti’s first significant contract in North America and builds on our regional growth capabilities, after expanding into Botswana last year with an A$800 million contract. We look forward to supporting Barrick to deliver outstanding results at Hemlo,” he said.

Underground Chief Executive Officer, Paul Muller, said: “We are thrilled to be in a position to support Barrick to improve the performance of the Hemlo mine. We intend to work very closely with Barrick and all key stakeholders, including the incumbent workforce at Hemlo, the Pic River and Pic Mobert First Nations people and the Marathon community more generally to deliver a sustainable improvement in performance, thereby assuring the future of Hemlo.”

Panoramic looks to Barminco for Savannah nickel-copper-cobalt ramp up

Perenti’s hard-rock underground mining subsidiary, Barminco, has been selected as the preferred contractor by Panoramic Resources at its Savannah nickel-copper-cobalt project in the Kimberley region of Western Australia.

The contract, worth around A$200 million ($135 million), will see Barminco carry out mine development, production, and haulage over a three-year term. Work is expected to commence in March 2020.

Barminco anticipates it will employ around 170 people for the project and use predominately new equipment, which has been included in the capital guidance previously provided, to deliver the project.

Savannah, 110 km north of Halls Creek in Western Australia, saw mining operations recommence in December 2018, with the first shipment of concentrate departing Wyndham in February 2019. The miner is currently developing the higher-grade Savannah North orebody focusing on high speed development and a ramp up to full production in 2020, Perenti said.

Perenti Managing Director, Mark Norwell, said: “This project demonstrates our ability to capture organic growth opportunities, with the Barminco business now well integrated into the Perenti group whilst further embedding itself as a leader in underground mining.”

Underground Chief Executive Officer, Paul Muller, added: “We look forward to working closely with Panoramic Resources in driving the development of the Savannah North orebody safely and efficiently as it ramps up to full production.”

Barminco turns Perth head office into remote operations centre

Leading underground mining services provider Barminco, a subsidiary of Perenti, says it has successfully piloted a new operations centre that allows it to remotely operate underground equipment on a client’s mine site anywhere around the world.

In what the company believes to be a world first, Barminco operated a machine, working underground, from its head office in Perth at a client mine site in the Goldfields of Western Australia.

“The innovation was made more impressive given the remote operation occurred via the internet, instead of through a fibre-optic cable, which is the method that mine owner-operators have historically used,” the company said.

Barminco Chief Executive Officer, Paul Muller, announced the achievement at the third annual Sandvik Digitalization in Mining Event, in Brisbane, Australia, this week.

Muller said: “Barminco has cemented its place as one of the world’s leading underground mining service providers through the use of technology and automation.

“A key strategic initiative under our parent company, Perenti’s, 2025 strategy is to deliver a ‘technology driven future’, and our ability to remotely operate underground machinery from our head office is a significant achievement in delivering on that strategy.”

The Barminco Remote Operating Centre, or BROC, was successfully trialled in collaboration with Sandvik and Independence Group (IGO) back in July. It was trialled in the early morning at Barminco’s Head Office in Hazlemere for a machine located at IGO’s Nova nickel-copper-cobalt mine site, almost 1,000 km away.

Barminco General Manager Technology and Innovation, Darren Kwok, said the trial was a great success.

“Whilst many mine sites have operators remotely operating equipment from the mine’s surface, we are one of the first, if not the first service provider, to operate underground equipment on a client’s site from a much greater distance,” Kwok said.

“BROC enables us to connect multiple sites and operators at the same time, meaning if there is an issue at any point, we have contingencies in place.”

Barminco’s first trial involved the remote operation of a Sandvik LH517 LHD being operated in Perth by Barminco employee, Guy Gilbert, and Kwok said Barminco was now working with IGO to make BROC a permanent fixture at its Nova mine site.

“The advantages in improving the safety of our workplace and the efficiencies for our clients are enormous,” Kwok said.

Independence Group Chief Operating Officer, Matt Dusci, said the company was thrilled to be part of the successful trial, which is all part of the company’s ‘IGO – Smart Solutions’ initiatives.

“At IGO, we continually look for ways to improve how we do business and deliver operational excellence. By integrating innovative Smart Solutions at our operations, such as working with Barminco on BROC, we improve the safety and wellbeing of our people, realise step change opportunities, and optimise efficiencies and productivity,” Dusci said.

Kwok added: “Our future plan is to have a dedicated remote operating centre manned 24/7 where our team and our client’s people can work collaboratively side by side to deliver a world-class mine site.

“Clients who work with Barminco should expect more from our business along with the broader Perenti group of companies and BROC is one such example of how we are delivering on this promise.”

The Sandvik event concludes on December 4 and showcases best practice examples of industry leaders integrating digitalisation into their operations across the mining, construction and quarrying industries.

The announcement comes just over a week after Barminco was awarded Large Employer of the Year 2019 at the National Australian Training Awards in Brisbane.

Barminco’s leading training practices recognised at Australia awards ceremony

Last night Perenti company Barminco was named Australia’s Large Employer of the Year at the National Australian Training Awards in Brisbane.

This award, which recognises a company focused on upskilling employees, follows a win for the same category at the WA Awards in September.

Barminco Chief Executive Officer, Paul Muller, said: “Our vision is to be the world’s leading hard-rock underground mining service provider, and our people are at the core of that vision.

“We are aiming to significantly increase the size of our business in the next five years in what is a highly competitive labour market and our focus is firmly on training and our integrated people strategy.

“It is wonderful to be recognised nationally for our work in this area.”

Barminco was established in Coolgardie, Western Australia, 30 years ago with 30 employees. Today it has 3,900 employees across 22 projects in eight countries and four continents.

Key elements of Barminco’s training strategy are the Barminco Training Centres, the first of which has just opened in its Hazelmere head office, in Western Australia, and a second facility being replicated on a larger scale in Botswana, due to open shortly.

Barminco General Manager, Safety and People, Patrick Bourke, said: “These unique facilities replicate what it is like to be underground. There is a focus on operational skills and they utilise technology to offer customised virtual reality scenarios for all the different underground jobs.”

“This is a game-changer for us as it ensures new employees go to site with a much better understanding of the underground environment so they are safer and can operate more efficiently.

“Barminco’s focus on training people extends to several other programs, including its successful apprenticeship program that has been running for more than 20 years and its unique leadership program designed to provide career progression for employees, a key retention tool to develop and progress staff into management roles.”

Bourke said Barminco’s rapid growth was down to the people the company employed and, therefore, investment in their training was essential.

“We are extremely proud of our innovative training programs and it has made an enormous difference to our business,” he said.

Barminco was one of three named finalists for the 2019 Australian Training Award – Large Employer of the Year.

Barminco wins extension at Hindustan Zinc-owned Rampura Agucha zinc-lead mine

Ausdrill’s recently added subsidiary, Barminco, has been awarded an underground mining services contract at the Rampura Agucha zinc-lead mine in India from Hindustan Zinc worth approximately A$100 million ($71 million), the ASX-listed company says.

Hard-rock underground miner Barminco has operated at Rampura Agucha for Hindustan, a subsidiary of Vedanta Limited, since late 2016. The new underground mining services contract is for a three-and-a-half-year term, subject to review and mutual agreement of rates after the first year.

The scope of work includes the extension of development works that were being provided under a recently completed contract, plus the addition of production work in the Barminco-developed area of the mine. Under the contract, Hindustan will provide capital equipment and consumables. Barminco will commence work immediately, Ausdrill said.

Barminco CEO, Paul Muller, said: “We are very pleased to have been awarded a contract that extends our operations at the Rampura Agucha mine with an expanded scope to include production works. We look forward to deepening the relationship we have built with Hindustan Zinc over the past few years by delivering on this extended scope of works both safely and efficiently.”

Rampura Agucha is the second largest zinc mine in the world, according to Hindustan, with production of 3.9 Mt in the company’s 2018 financial year. It has a zinc-lead reserve grade averaging 15.7% Zn+Pb, with total reserves of 46 Mt as of March 31, 2018.

The ongoing underground mine project is being developed with a vision of producing 5 Mt/y of ore and includes a main production shaft of 955 m depth, 7.5 m diameter and hauling capacity of 3.75 Mt/y; two ventilation shafts, two declines from surface and paste fill plants, according to Hindustan.