PERTH (miningweekly.com) – Gold miner St Barbara has appointed ASX-listed Macmahon Holdings as the underground mining contractor for its Gwalia operations, in Western Australia.
Macmahon said on Wednesday that the five-year contract would add some A$500-million in value to the company’s order book, with the contract to start in May this year.
St Barbara will have the option to extend the contract by a further three-year period.
St Barbara told shareholders that the appointment of Macmahon brought an opportunity to enhance the performance of the Gwalia mine, and that the change in underground operator, and new contract terms, were an important aspect of the company’s Building Brilliance company transformation.
“This chance is indicative of St Barbara’s determination to enliven Gwalia’s future, to safely and sustainably rebuild operational performance and to secure future investment by delivering predictable and strong financial returns,” said MD and CEO Craig Jetson.