Ausdrill wins deals worth $171m

Ausdrill has won contracts in Western Australia worth a combined $171 million, including for underground mining services at Regis Resources’ Rosemont project.

Ausdrill subsidiary, Barminco, secured a three-year contract worth around $113 million to perform underground development and production work at Rosemont.

In August, Regis approved the development of an underground mining operation directly below the existing Rosemont open pit, which is one of the company’s three gold projects in the Duketon deposit area, located 130 kilometres north of Laverton.

Rosemont has been a fully operational open-pit gold mine since 2013.

Ausdrill was also awarded a contract from Bellevue Gold for the provision of exploration drilling services at the Bellevue gold project in the Eastern Goldfields.

The one-year contract, which has recently commenced, will require approximately four diamond rigs from Ausdrill’s existing fleet.

The company secured a contract from Consolidated Minerals for the provision of exploration drilling services at the Woodie Woodie manganese mine located in the Pilbara.

The one-year contract will begin next month and utilise five reverse circulation drill rigs and one diamond drill rig from Ausdrill’s existing fleet.

Barminco was awarded a 14-month contract from Western Areas to perform decline rehabilitation and development works at the nickel miner’s new Odysseus project.

Barminco has worked with Western Areas for 14 years at Forrestania, which incorporates the new Odysseus project, as well as the Spotted Quoll and Flying Fox nickel mines where the company is the mining services provider.

Ausdrill managing director Mark Norwell said the announcement illustrated the company’s broad portfolio.

“These new projects demonstrate the diversity of the expanded Ausdrill group across different projects and resources, solid progress of Barminco, and the professional service our businesses have been providing to our customers,” he said.

Barminco chief executive Paul Muller said the company was looking to build a long-term relationship with Regis to complement its current order book.

“This project adds to Barminco’s extensive experience in the WA Goldfields, with current mining projects at Sunrise Dam and Agnew,” he said.