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SAB Mining wins Bauxite Hills mining contract

Published by , Editor
Global Mining Review,

Metro Mining Ltd has awarded SAB Mining the mining contract for the operation of the Bauxite Hills mine, located in Queensland, finalising the awarding of all major contracts for the mine.

Mine construction at the Bauxite Hills mine 100 km north of Weipa commenced in July and mining operations are on schedule to commence in April next year.

SAB is currently on site undertaking civils works for mine construction and has performed admirably from a safety, indigenous engagement and productivity perspective.

SAB’s scope of works for the Bauxite Hills mine contract encompasses all land based mining activities, including:

  • Clearing and pre-strip.
  • Mining bauxite in accordance with mine plan.
  • Operation of haul trucks.
  • Loading of barges via barge loading facility.
  • Rehabilitation of mined areas.
  • Maintenance of plant and equipment.

The key terms of the contract include:

  • Two-year term + 2 year option at Metro’s election.
  • Key mining equipment provided by SAB at fixed monthly rate and ancillary equipment provided on agreed hourly schedule of rates.
  • Labour provided by SAB on agreed schedule of rates.

Metro’s Managing Director Simon Finnis said: “Metro is delighted to have engaged SAB Mining to carry out the mining services for the Bauxite Hills mine. SAB has been integral in assisting Metro advance the project to where it is today and their formal appointment for mining operations represents another key milestone for the project.”

Finnis continued: “Metro and SAB will work together to prepare for mining activities with the view of mobilising the mining fleet to site in March 2018, ahead of forecast production starting in April 2018.”

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Australian mining news