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September 14, 2016

Downer EDI wins five mining contracts worth $186.8m

Australian engineering and infrastructure management provider Downer EDI has secured five contracts with a combined value of A$250m ($186.8m) through its mining service businesses.

By Srivani Venna

Australian engineering and infrastructure management provider Downer EDI has secured five contracts with a combined value of A$250m ($186.8m) through its mining service businesses.  

Downer Blasting Services (DBS) won three contracts for supply, manufacture and delivery of explosives, as well as down-the-hole blasting services.

Under a three-year contract with Newmont Asia-Pacific at its Boddington Gold mine, DBS is responsible for customisation and ongoing management of an onsite emulsion manufacturing facility. The contract can be extended for further two years.

"Downer’s mining services include enhancing safety, increasing productivity and engaging the local community."

The company also won a 3.5-year agreement with Karara Mining at its mine site.

Separately, DBS won a five-year extension of the existing contract with Grange Resources at its Savage River mine.

Downer has been providing blasting services for Karara since 2012, and for Savage River since 2007.

In addition, Newmarket Gold selected Downer to provide underground mining services at its Fosterville Gold mine. Work includes ground support services and related mining services. At present, Downer provides mining services at the Newmarket’s Cosmo mine.

Separately, Waanyi ReGen, a 50:50 joint venture between Waanyi Prescribed Body Corporate and Downer's ReGen business, secured a three-year contract to perform erosion prevention activities at the Century mine site.

Downer CEO Grant Fenn said: "These new and extended contracts are a clear endorsement of Downer’s broad value proposition for mining services customers which includes enhancing safety, increasing productivity and engaging the local community."

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