Barminco locks in $700m extension

Barminco has secured a five-year extension to its mining services contract at AngloGold Ashanti’s Sunrise Dam gold mine, worth about $700 million.

The mining contractor has partnered with AngloGold at Sunrise Dam since underground operations began in 2003.

Barminco chief executive Paul Muller highlighted the importance of the contract.

“This contract extension speaks volumes about our commitment to AngloGold, the relationship we have built with them and the results that have been delivered at Sunrise Dam over the past 15 years,” Mr Muller said.

“We are very pleased to extend our relationship and continue work to achieve our shared vision with AngloGold to further increase annual production using our latest equipment and cutting-edge technologies.”

The contract extension comes after Ausdrill announced last month it would acquire Barminco for $271.5 million.

“This contract extension demonstrates the commitment and strong working relationship that AngloGold Ashanti and Barminco have built over many years of mining challenges while continuing to significantly improve safety and productivity,” AngloGold senior vice-president Michael Erickson said.