Saracen contracts SRG for $70m

SRG Global has secured a five-year contract with Saracen Mineral Holdings to provide drill and blast services at the Thunderbox and Carosue Dam operations in Western Australia.

The contract is valued at $70 million and follows SRG’s recently secured construction work on Chevron’s new headquarters.

The scope of works under the new contract includes production drilling, explosives supply and management, as well as grade control drilling at both operations.

SRG said it had also provided specialist geotech services for more than 20 years at the Kalgoorlie Super Pit, of which a 50 per cent stake was bought by Saracen late last year.

Saracen’s Thunderbox gold project is located about 45 kilometres south of Leinster, and the Carosue Dam around 120km north of Kalgoorlie.

SRG Global managing director David Macgeorge said the contract added significantly to the company’s long-term work in hand.

Last month, SRG secured a $72 million contract with Multiplex to begin work on the 29-storey office tower for Chevron, to be located at Elizabeth Quay.

SRG will begin work on the tower in May, expected to complete in 2022.

The company recently disclosed in its interim results record work in hand of $737 million, up 42 per cent in the last 12 months.

SRG said recurring revenue of $286 million represented around 70 per cent of its work in hand position.