Mining contractor Macmahon Holdings has announced that its Nigerian subsidiary has won a seven-year, $126 million contract for quarrying operations for the United Cement Company of Nigeria (UniCem).
Commencing in January next year, Macmahon said the quarrying works were expected to generate revenue of around $18 million per year.
The scope of works includes drilling, blasting, excavation and delivery of limestone, marl and shale at UniCem's Mfamosing cement manufacturing plant near the town of Calabar, in Nigeria's Cross River State.
Macmahon chief executive Nick Bowen said the company's work at Ewekoro, the first quarry contract the company secured in Nigeria, was key to winning the project.
“Calabar will be our second contract in Nigeria and the fifth limestone quarry contract that Macmahon operates across Malaysia, Indonesia and Nigeria,” Mr Bowen said in a statement to the ASX.
“Macmahon’s increasing presence in Nigeria further strengthens our ability to continue expanding in West Africa.
“Increasing our international footprint through established clients is in direct alignment with our plan to grow steadily and control risk.”
At 11:15AM (WST) Macmahon stocks were up 3.5 per cent, trading at 59 cents.
