Australian mining services provider Thiess has secured A$2.5bn ($1.7bn) contract extension with Jellinbah Group for the Lake Vermont coal mine in Queensland.

Lake Vermont coal mine is one of the operating mines of the Queensland-based coal company.  After commencing its first shipment in February 2009, the mine currently produces hard coking coal, low volatile PCI coal and thermal coal.

Under the five-year extension contract, Thiess will be responsible for providing service mining operations, which include mine planning, coal mining, topsoil and overburden removal and drill and blast.

It also includes water management and rehabilitation of final landforms at the Lake Vermont mine.

As part of the contract, Thiess will also provide a range of autonomous services that include the implementation of autonomous drilling and semi-autonomous dozer push.

CIMIC Group CEO Juan Santamaria said: “For more than 13 years, Thiess has worked alongside Jellinbah Group to safely position the mine’s operations for optimal efficiency, productivity and cost performance.

“This contract demonstrates Thiess’ ability to turn insight and optimisation into greater certainty for its clients.”

As the statutory operator of the project, Thiess will also be responsible for providing all mobile plant and equipment, and operating and maintaining the Jellinbah Group’s coal handling and preparation plant (CHPP).

The contract extension will commence from 1 January 2022

CIMIC Group Mining and Mineral Processing executive and Thiess managing director Douglas Thompson said: “We’ve developed a strong working relationship with Jellinbah Group since commencing work at Lake Vermont in 2007.

“We’re excited to bring fresh thinking and new solutions to support the mine’s continued, sustainable evolution over the next five years.”

The work on the contract extension is scheduled to commence from 1 January 2022.

Furthermore, CIMIC’s mineral processing company, Sedgman is also providing CHPP operations support at the Lake Vermont Mine.

In September last year, Thiess was awarded a six-year AUD1.3bn ($0.9bn) contract extension by Coronado Global Resources to provide mining services at the Curragh Mine in Queensland, Australia.