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Macmahon receives letter of award for Mount Morgans Gold Mine

Published by
Global Mining Review,

Macmahon Holdings Ltd has received a letter of award from a subsidiary of Dacian Gold Ltd, for the provision of open pit contract mining services at the Mount Morgans Gold Mine in the Western Australian goldfields.

The 5-year mining contract, which is expected to be signed by both parties in the coming weeks, will see Macmahon provide open pit mining services including drilling and blasting, loading, hauling and technical services.

The contract anticipates Macmahon will move in excess of 100 million t of material over the initial term, generating approximately AUS$250 million in total revenue. There is an option to extend the contract for a further 31 months after the initial period concludes.

Macmahon CEO, Michael Finnegan said he looked forward to working closely with Dacian Gold. “This is an exciting project and one that we have been following for some time,” Finnegan remarked.

“To receive this letter is extremely gratifying and we look forward to delivering on this project for the benefit of both parties.”

“Throughout the tender process we have built a trusted relationship with Dacian Gold, and today’s announcement is a testament to the value-driven service proposition that Macmahon has been able to offer,” Finnegan concluded.

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