The scope of work under the contract includes open pit mining services including drilling and blasting, along with loading and hauling services
Australian mining services provider MACA has secured a contract extension for Ramelius Resources’ Mt Magnet gold project located in Western Australia.
The Mt Magnet gold project is located immediately adjacent to the town of Mt Magnet, 560km North East of Perth in the Murchison Goldfield of the Western Australian Yilgarn Craton.
Covering an area of 225km² , the project comprises a number of open pit and underground mines along with the exploration targets that are located on the established mining and prospecting lease areas.
Under the contract, MACA will be responsible for the open pit mining services including drilling and blasting, along with loading and hauling services.
MACA expects about $93m in revenue from the contract extension
MACA CEO and managing director Mike Sutton said: ‘We are pleased to continue our relationship with Ramelius Resources at Mt Magnet for a further 3 years.
“The services we provide at Mt Magnet and Edna May for Ramelius make up an important part of MACA’s Work in Hand in the gold sector’.
The company expects that the contract extension would generate about AUD130m ($92.8m) in revenue for it over the three-year period.
Furthermore, Ramelius Resources had acquired Mt Magnet Gold project in 2010 from Harmony Gold and has restarted the operations at the mine in late 2011.
The scope of work under the mining contract will include load, haul, drill and blast services, and would run for an initial seven-year term with the option to extend.