BUMA Australia signs contract with Bowen Coking Coal
Published by Jessica Casey,
Global Mining Review,
PT Delta Dunia Makmur Tbk has announced that its subsidiary, PT Bukit Makmur Mandiri Utama (BUMA), through its Australian subsidiary, BUMA Australia Pty Ltd, will immediately commence new mining services for Bowen Coking Coal’s (BCC) Broadmeadow East metallurgical coal project. The new Broadmeadow East contract is valued at AUS320 million, over a three-year term, with the option to extend for a further year (the contract).
The project is located 25 km northeast of the township of Moranbah, within the Central Bowen Basin in Queensland. BUMA Australia has successfully operated in the immediate vicinity for 14 years at the BHP Billiton and Mitsubishi Alliance’s (BMA) Goonyella project. The project is expected to produce 4.8 million tpy of ROM coal over four years.
Ronald Sutardja, President Director of PT Delta Dunia Makmur Tbk., commented: “BUMA Australia’s performance and track record have solidified the relation-ships with our existing customers. The strength of our business has allowed us to opportunistically seek new contracts. We are grateful to the BUMA Australia team for securing a second contract in the five months since our acquisition of Downer Mining East in December last year.”
This new contract further strengthens BUMA Australia's presence in the Bowen Basin, with >10 years of operating history at BMA’s Blackwater metallurgical coal mine and 14 years of operating history at BMA’s Goonyella metallurgical coal mine. On 22 February 2022, BUMA Australia announced that it had secured a new AUS550 million, five-year contract extension at BMA’s Blackwater mine.
The contract also confirms Delta Dunia Makmur’s strategy of remaining committed to providing end-to-end mining services and adjacent businesses in Indonesia and Australia.
2021 reflected a transformational year for Delta Dunia Makmur and established a strong foundation for the company’s continued growth:
- Revenues and EBITDA increased by 51% and 43%, respectively, y/y to USS$911 million and US$234 million.
- Volumes increased y/y by 16% and 19%, respectively, for overburden and coal to 326 million bcm and 54 million t of coal.
- Delta Dunia Makmur actively managed its funding position, with >60% of its obligations in 2026 or beyond.
- The company added >880 m bcm of overburden and >119 million t of coal to its order book through new contracts and extensions (excluding the contracts announced in 2022).
- The company completed the acquisition of Downer Mining East, a Tier 1 Australian mining contractor, which increases our annual bcm and revenue by ~50%.
- The company commenced its commodity diversification, with the acquisition of a 15.4% stake in Asiamet Resources, with a portfolio of copper and polymetallic projects in Indonesia.
Read the article online at: https://www.globalminingreview.com/finance-business/23052022/buma-australia-signs-contract-with-bowen-coking-coal/
You might also like
Akobo Minerals announces the start of core drilling at Gindibab
Akobo Minerals AB, the Scandinavian-based Ethiopian gold exploration and boutique mining company, has announced the start of core drilling on a new target at Gindibab.