Carey Mining takes on power

INDIGENOUS contractor Carey Mining has taken another step towards diversifying its business by establishing a new jointly owned company focused on solar power installations in regional areas.

It has partnered with Perth company Next Power to establish Carey Power, which will target the north-west, the Goldfields and Northern Territory.

The new business also draws on the education and training services offered by Carey Training, which already operates in Adelaide and Perth.

The launch of Carey Power continues the expansion of the group since it was founded by managing director Daniel Tucker in 1995.

It fits with Mr Tucker’s goal of diversifying the business beyond training and mining into areas that challenge the perception of what is possible in an indigenous business.

He also has an ambitious goal of doubling turnover in the next three years to build a large and profitable contracting company.

Carey Power will focus on providing commercial solar power solutions for remote communities and mine sites, regional housing developments and local governments.

Mr Tucker said Carey Power would combine sustainable energy delivery with meaningful employment for indigenous Australians on their traditional land.

“It is about time that someone got serious about these two very important issues and we are very excited to be leading the way in remote solar energy and indigenous training and development,” he said.

Carey Power has already signed a memorandum of understanding with Horizon Power
to investigate the supply of electricity in regional WA.

It has also been invited by the Larrakia Development Corporation – an Aboriginal company, owned and operated by the traditional owners of Darwin – to partner with them to provide energy solutions for the Northern Territory.

Next Power chief executive Kieron D’Arcy said his business had been looking for the right opportunity to diversify beyond the metropolitan area to the regions.

“The prospect of providing genuine, sustainable work for Indigenous people combined with renewable energy was a perfect match,” he said.

“We saw a really good opportunity for long-term employment on the land.” 

Formerly known as Unltd Energy, Next Power was established in 2007. Its first commercial installation was undertaken the following year at Murdoch University.

It has installed the CBD’s largest array (110kW) and the state’s largest PV solar system for a school (30kW) at Newman College. 

Mr Tucker pioneered the indigenous contracting sector when he established Carey Mining; but it wasn’t the first time he made a mark in the community.

In 1980, he was one of only two indigenous students in Kalgoorlie to complete high school; the other graduate became his wife.

Mr Tucker later won a succession of apprentice of the year awards at mining company WMC Resources.

With 210 staff, Carey is the largest 100-per cent indigenous, privately owned and managed contractor in the country.

Many other indigenous contractors have subsequently been established, but most have formed partnerships with established businesses or operate through joint ventures.

Over the past decade, more than half Carey Mining’s employees have been indigenous. This is a higher portion than many other indigenous contractors.

Carey Mining won its first contract in 1995 at the Sunrise Dam gold mine in the northern Goldfields. The mine is located on the shores of Lake Carey, after which the company takes its name. Initially it worked in a joint venture with experienced mining contractor Roche (now Downer Mining).

While indigenous joint ventures of this kind are now fairly common in the mining industry, at the time it was unheard of.

Carey is still working at Sunrise Dam, which is now owned by AngloGold Ashanti, and is actually in the process of transitioning to a new bulk haulage contract under which it will take over from Downer.

It also has contracts with BHP Billiton and Rio Tinto, but unlike the early days, now delivers work directly to its clients rather than operating through joint ventures. That was the result of a restructure in 2007, in which Mr Tucker built up the company’s internal capacity.

For BHP, it provides mainly civil works, such as road construction and maintenance at the Area C and Yandi mines.

For Rio, it provides a range of civil construction works at Brockman 4 and Koodaideri, and has won a contract to operate crushing and screening plants at Tom Price and Paraburdoo.

Its largest competitor in the indigenous contracting sector is Ngarda Civil & Mining, which is half-owned by Leighton Contractors.

In 2008, Ngarda won the largest-ever mining contract awarded to an Aboriginal company, when it commenced a five-year, $300 million contract at BHP’s Yarrie mine.

The contract was previously held by Leighton Contractors.

Ngarda, which has a total of 300 staff, also has a range of civil contracts across the Pilbara, including an earthworks contract at Rio’s Marandoo mine.