Macmahon has secured a three-year extension at the Byerwen coking coal mine in Queensland to deliver open cut mining services.
Since the inception of the coal mine, Macmahon has been contracted for works such as load and haul and crusher feed, with the site providing jobs to more than 800 staff.
The contract extension is set to net approximately $900 million of revenue for Macmahon.
“We are very pleased to continue as the mining contractor at Byerwen, where we have worked closely with the team since the mine commenced operations in 2017,” Macmahon managing director and chief executive officer Michael Finnegan said.
“We will continue to refine the terms and conditions over the next few months with a focus on mutually beneficial outcomes that will enhance operational efficiencies on site.”
The mine is owned through a joint venture between QCoal Group and the Japanese steel manufacturer JFE Steel.
“The QCoal relationship and Byerwen project have been key to the Macmahon business stabilising over the last eight years,” Finnegan said. “The teams are grateful and excited that they will have the opportunity to continue to develop that relationship on site and corporately.”
With Macmahon’s existing presence at Byerwen, no further capital expenditure is required at the site.
The agreement pertains to the continuation of services from October 2025, with final documentation expected to be finalised before September 30.
In other news, Macmahon was recently appointed as the underground mining services contractor at the Poboya gold project in Sulawesi, Indonesia.
Under a new contract, Macmahon will provide works such as underground mining development, ore mining activities, drilling, loading, hauling, equipment maintenance and mine services support.