Mackay business snaps up $95m mining deal
EXCLUSIVE: A DEVELOPMENT contract worth a whopping $95 million has been awarded to a Mackay company this month.
Based out of Mackay for more than 20 years, Mastermyne Group Limited is renowned for its specialisation in the underground coal sector and currently employs about 1000 people.
The company can now add a development and outbye services contract for Anglo American's Aquila project to its ever-growing portfolio.
The contract will employ 160 full-time personnel during the two-year life of the project and total revenue generated from both the contract and equipment supply is estimated to be $95 million.
Mastermyne CEO Tony Caruso said the majority of the jobs would be delivered to locals.
He said the flow-on effects from the contract would also benefit Mackay businesses.
"We will bring a lot of equipment out to the mine and all of that equipment will be serviced and repaired here in Mackay," he said.
"That will generate work for a number of different service providers."
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As part of the project, Mastermyne will undertake roadway development in the mains and gate roads and will engage in all outbye related services for the establishment of the new longwall operation at Aquila Mine.
The company will also supply development equipment from its fleet and will deploy continuous miner and ancillary development equipment for the project.
Mr Caruso said he was proud to have secured the project as the Aquila Mine would generate jobs for the large number of workers currently employed at Grasstree Mine.
"It will give those guys another seven to eight years of employment," he said.
The $95m contract comes in conjunction with Mastermyne's recent purchase of Wilson Mining Services.
The $8m business acquisition is part of Mastermyne's long-term strategy to diversify and provide a holistic solution to its clients.
Mr Caruso said the company had managed to stay "financially fit" throughout the mining downturn and was growing from strength to strength, with an analyst forecasting the company's revenue would rise to nearly $300m next year.
Resource Industry Network general manager Adrienne Rourke said Mastermyne's recent success demonstrated the great things that could be achieved in Mackay.
"It's been great to see Mastermyne have kept their head office here in Mackay and as an ASX listed company they demonstrate the capability that we have here in the region," she said.
"I think a Mackay business being awarded a major contract like the Aquila project is great for not only those directly employed, but also those businesses that benefit from the flow-on effects.
"It also shows a growing confidence in the industry."
Pre-mobilisation works have already begun on site at Aquila Mine and the first phase of mobilisation will commence in early September.