Category: Ausdrill

Perenti and DDH1 – Continued creation of enduring value 

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Perenti has announced that it has entered into an agreement under which it will acquire 100% of the issued share capital of DDH1 Limited subject to satisfaction of conditions.  

DDH1 brings significant capability across a range of specialised surface and underground drilling services that complement Perenti’s existing service offering.

Perenti will benefit from increased scale, and the ability to leverage the operational and financial strengths of both companies. This will enable improved margins and increased free cash flow, which will accelerate the delivery of our FY25 financial targets.

Following the completion of the transaction, which is subject to DDH1 shareholder approval and other conditions, Perenti will become one of the largest drilling services companies globally, increasing growth opportunities for the business and our people.  

Mark Norwell, Managing Director & CEO of Perenti said: “This is a compelling transaction that represents an exciting next step in delivering on Perenti’s purpose, to create enduring value and certainty, by building a portfolio of complementary high quality businesses.  

“Perenti has a long history in drilling from its Ausdrill heritage and Barminco Diamond Drilling business and understands the attractiveness of the market.  

“The long term outlook for a sustained production cycle needs increased drilling spend to ensure mining reserves are not diminished, and drilling is becoming more complex, resulting in larger programs and demand for specialist services.  

“DDH1 is a highly respected tier 1 global operator, with significant capabilities across a complete range of specialised surface and underground drilling services, that are complementary to our existing clients and service offering.  

“We have a clearly articulated framework against which we assess all investment opportunities, with this transaction addressing our key assessment criteria in relation to strategic attractiveness, fit within Perenti and value creation potential.” 

Following the Transaction, the DDH1 business will form part of a newly created Drilling Services Division, which will also comprise Perenti’s existing Ausdrill business. Sy Van Dyk (current Managing Director & CEO of DDH1), will be appointed as President of the newly created division. Each of the four existing DDH1 brands, DDH1 Drilling, Ranger Drilling, Strike Drilling and Swick Mining Services, will be maintained and led by their existing leadership teams, with a focus on providing a consistent offering and customer continuity. 

Rob Cole, Chair of Perenti said “We look forward to welcoming the DDH1 team to Perenti and working together to deliver on the significant value upside that will be delivered from this Transaction. Sy and the DDH1 management team are highly experienced executives leading a globally respected operator, which will continue as part of our newly established Drilling Services Division. We also look forward to working with our new colleagues Diane and Andrea who bring significant skills and experience to the Perenti Board, with Mark Hine announcing his intention to retire from the Perenti Board. On behalf of the Perenti Board, I would like to thank Mark for his enormous contribution to Perenti over the years, spanning major strategic shifts in the business from the combination of Ausdrill and Barminco, up until the Transaction being announced today.” 

For more information visit our Investor Centre. 

Perenti first half FY23 results and business update

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Perenti has released its financial and operational results to the market for the first half of FY23.  

Mark Norwell, Managing Director & CEO of Perenti, said: “First and foremost, my thoughts are with the families, friends and workmates of Trevor Davis and Dylan Langridge, our colleagues who tragically lost their lives as a result of the incident at the Dugald River underground mine last week. This is a tragic incident and a devastating loss, with a magnitude that has been and will continue to be felt across our whole organisation. I would like to thank everyone who carried out the search and rescue effort for Trevor and Dylan last week as well as the wider organisation for their support to people directly involved in the incident or more generally, the care provided to each other.

“During the period from 1 July 2022 through to 31 December 2022, Perenti’s ability to deliver for our clients with strong operating performance under a sustainable and disciplined financial framework – while caring for our people and communities – underpins our strong results for this half.

“Our dedicated team of over 9,000 employees have done a fantastic job of developing and executing our 2025 Strategy to the point where we have delivered consecutive periods of earnings and margin expansion. This result is something for everyone at Perenti to be proud of.

“We recognise that the current external market conditions have improved since Covid-19 restrictions started to ease and that our business is in a position to take advantage of these conditions. However, we are also acutely aware of the potential volatility that still exists and we working to manage the controllable aspects of this environment by remaining disciplined in the execution of our strategic objectives.”

You can read more about Perenti’s first half FY23 results and business update here.

Perenti and ABB agree to jointly explore solutions to help mining customers decarbonise operations

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Perenti has signed an agreement with leading global technology company ABB to collaborate and explore approaches to support net zero emissions targets for underground and open-pit mines. Experts from the two companies will work together to address electrification in mine hauling operations, power distribution, energy efficiency and power management.

Perenti’s significant mining expertise and technical capability will be complemented by ABB’s technology expertise. Together, the teams plan to explore business models and solutions to provide wider services for pilot, brownfield and greenfield mining customer projects to support the electrification of operations.

ABB has been calling for open collaboration within the mining industry and has taken action on several similar initial non-binding agreements to build commitments with original equipment manufacturers (OEMs), technology innovators and mining companies. Key relationships have subsequently been formalised, with technologies and solutions created as a result of these deals.

“Mining customers are committed to facing environmental, societal and economic challenges head on as they aim to decarbonise mining operations,” said Joachim Braun, Division President, Process Industries, ABB. “With ABB’s sector leading position in electric-mine technology development, and Perenti’s excellence and experience in mine development and mine operations, the scope of this collaboration is a perfect opportunity to make real progress in providing electric solutions that will decarbonise the industry.”

Mark Norwell, Perenti Managing Director & CEO with Joachim Braun, Divisional President, Process Industries, ABB

“ABB and Perenti share a vision to develop energy efficient solutions for the mining industry,” said Mark Norwell, Managing Director & CEO, Perenti. “By combining our experience across mining operations and digital solutions with ABB’s leading technologies we are focused on supporting the decarbonisation of mining through electrification. We look forward to working with ABB on this exciting new venture.”

ABB is committed to creating sustainable progress for today and for future generations by helping mining customers through their energy transition. ABB launched its ABB Ability™ eMine portfolio of technologies and methodologies last year, an approach to make the all-electric mine possible, with fully integrated electrification and digital systems from mine to port.

Perenti is committed to acting on climate change through promoting innovation, developing and deploying low emissions technology and working with its clients to implement projects that improve energy efficiency and reduce emissions. 

You can read the full story in our Investor Centre.

Perenti posts strong finish to FY22 and well positioned for further earnings growth in FY23

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Perenti has delivered strong FY22 financial and operational results, headlined by a significant step-up in 2H22 earnings, and continued improvement in leverage.

Mark Norwell, Managing Director and CEO of Perenti, said: “Our strategic focus on maximising cashflow generation from our activities, effectively managing capital and driving operational performance, combined with the professionalism, dedication and resilience of our people, has enabled Perenti to deliver solid financial results for FY22, with a strong second half.

“Our 9,000 employees continue to show dedication, passion and resilience, collectively contributing to our improving performance. On behalf of the Board and Group Executive Committee, I thank them for everything they have done in what remains a challenging environment.

“We have continued to re-shape our business and are positioned to create a blended portfolio of complementary services through three operating divisions. This portfolio will be underpinned by our Contract Mining Division, which remains our core business and is the source of our major growth projects with globally recognised and respected brands.

“Our portfolio also includes the divisions of Mining Services and idoba, which will both support our contract mining activities as well as provide strong medium and long-term growth opportunities in new and future facing services, with lower capital intensity.

“Combined with a streamlined corporate centre, Perenti is positioned to deliver a step-up in cash backed profits in FY23, with further improvements expected to drive earnings growth through to FY25 and beyond.”

For more information on Perenti’s FY22 Full Year Results visit our Investor Centre.

Perenti announces strategic investment in idoba by Sumitomo Corporation

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Perenti is pleased to announce it has successfully executed a share sale agreement in relation to a strategic investment by Sumitomo Corporation (Sumitomo) in idoba, Perenti’s technology informed services business. The transaction further strengthens Sumitomo’s commitment to the idoba business, following the Memorandum of Understanding announced in February 2022.

Under the Agreement, Sumitomo will acquire 10% of the issued shares in idoba for a total of $5.4 million. This implies a current idoba Equity Value of $54.0 million and Enterprise Value of $80.0 million reflecting the unique value proposition of the idoba ecosystem, and the significant embedded growth potential within both its consulting services and suite of Software as a Service products.

Mark Norwell, Managing Director and Chief Executive Officer of Perenti, said that the strategic investment in idoba by a world class counterparty is in recognition of the embedded value of idoba within Perenti, and the substantial growth opportunity that the business represents.

More information on the agreement can be found in our Investor Centre.

Perenti secures additional ~$520 million of Australian revenue with new Cowal Underground contract

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Perenti is pleased to announce that its Barminco underground mining business has been awarded the contract for all underground development and production works for Evolution Mining’s Cowal Underground project in New South Wales.

Barminco, a leading global underground mining services business, with operations in Australia, Africa and North America, is currently developing an exploration decline and conducting diamond drilling services at Cowal. The award of this new contract significantly expands Barminco’s scope at the site to include the development of a second portal, all underground development and production works, and associated underground mining services required to support the continued mill feed of underground ore.

Mark Norwell, Managing Director and CEO of Perenti said the award of the Cowal contract aligns with Perenti’s strategy of increasing its earnings in top-tier regions and with top-tier clients.

“The Cowal contract represents one of the largest underground mining projects in Barminco’s history, generating revenue of nearly $520 million with an initial term of four years, from a contract commencement date in early July 2022,” Mr Norwell said.

“This contract award represents not only a significant expansion and continuation of our first underground contract in New South Wales but is also a fantastic opportunity for Perenti to build on our strong working relationship with Evolution, one of Australia’s premier gold mining companies.”

Mining Chief Executive Officer, Paul Muller said, “Our purpose is to create enduring value and certainty for our clients, our people, our shareholders and the communities in which we work. At Cowal we will prioritise local and indigenous training and employment and local procurement opportunities while maintaining a transparent and consistent approach to community and indigenous engagement. We look forward to working with Evolution to develop a safe, sustainable, highly-productive world class operation in New South Wales.”

To read the ASX release visit the ASX announcements section of our website.

Perenti delivers solid results in-line with expectations

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Perenti has delivered solid financial and operational results for the six months ended 31 December 2021 that reflect significant revenue growth despite the continued COVID-19 challenges, while progressing the ramp-up of several growth projects and taking proactive portfolio and capital management measures to generate cash and support sustainable leverage reduction.

Mark Norwell, Managing Director and CEO of Perenti, said: “We are pleased with the overall performance of the Group over the last six months. The business has delivered solid consolidated results that show an improvement on the prior half and are consistent with guidance despite the continuation, and in some cases worsening, of macro-economic and operating conditions.

“Labour has remained tight, supply chains have continued to see disruptions, and the impacts of COVID-19 have arguably worsened both domestically and internationally. Yet despite this, our people have remained resilient which is absolutely appreciated by all of our Executives and the Board.

“Impressively, we welcomed almost 1,000 additional employees into the business, we continued to see improvements in our AMS business reflecting the positive outcomes of our recent strategic review and remained focused on delivering on our commitments while creating enduring value for all stakeholders.

“Looking ahead to the remainder of FY22, we expect the current macro-economic landscape to persist until the end of FY22 but remain confident in Perenti’s ability to continue to deliver on our commitments to our employees, our clients, our suppliers and our shareholders.”

To the full Perenti 1H22 Results media release.   

Perenti delivers solid FY2021 Results: proactively managing headwinds and positioning for growth

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Perenti has delivered an FY21 result consistent with its revised expectations, achieving solid operational performance and growth from its Underground Mining business and an improved second half performance from its Surface Mining business.

This solid result was delivered in a year where the Company’s financial performance was impacted by headwinds including the ongoing impacts of the COVID-19 pandemic on our international operations, tighter Australian labour market and a strengthening Australian dollar.

Perenti continues to invest in our people, systems and mining equipment to build strong foundations and support the ramp-up of the Company’s key growth projects in FY22 to deliver business growth in FY23 and beyond.

Mark Norwell, Managing Director and CEO of Perenti, said: “Firstly, I want to recognise our people, who provided high quality mining services to our clients with a focus on continuity of operations to deliver enduring value and certainty.

“Our Underground business continued to be a standout performer, delivering a third consecutive year of earnings growth with a strong FY21 contribution. Impressively, this growth has been delivered in a year where we saw the slower than anticipated ramp up at several recently secured international projects due to the prolonged, and ever-changing, nature of the COVID-19 pandemic.

“As expected, due to the planned contraction of our Surface Mining business following our strategic transition out of Yanfolila and Boungou, FY21 revenue, EBIT(A) and margins were softer than FY20. Pleasingly during the second half of FY21, earnings and margins generated by the Surface business more than doubled compared to the first half.

This tangible and sustainable improvement in performance is attributable to the implementation of the findings of the AMS Strategic Review and continued solid performance from our Australian business. We are in a good position to move our AMS business forward and are encouraged by securing the Motheo and Iduapriem contracts, both of which are examples of the quality of contracts that AMS will pursue.”

“The Investments business navigated difficult conditions during FY21 with softer east coast equipment rental market conditions impacting revenue and earnings. In response, we revitalised the leadership team and have increased our market activities including the implementation of a more targeted sales strategy, which has increased asset utilisation rates by 5 per cent since December 2020.

“We continue to look to the future. Throughout FY21 we made prudent investments in our people and systems, while managing our balance sheet to ensure we are well positioned to fund our 2025 strategic growth aspirations. An integral part of this strategic growth is our technology driven service offering, idoba, launched in July. Through idoba we plan to improve our competitive advantage by developing a unique capability in emerging digital mining, technology and innovation.”

You can read the full ASX Release here.

Perenti delivers record revenue and EBITDA earnings in FY20

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Perenti has delivered strong operating and financial results in FY20, demonstrating the strength of its global mining services business to withstand challenges and provide certainty. Perenti is set to deliver similar
revenue and operating margins in FY21, subject to COVID-19 impacts, with solid growth expected in FY22.

In FY20 Perenti delivered record revenue – exceeding $2 billion for the first time – record EBITDA, significantly strengthened its liquidity position, and has entered FY21 with more than $5 billion work in hand and almost
$11 billion in contract rollovers and targeted tender opportunities.

Perenti Managing Director & CEO, Mark Norwell said the FY20 financial results reflected the team’s ability to successfully navigate a turbulent year and deliver value and certainty for Perenti’s clients and investors.

“To report record revenue and earnings, end the year in a stronger financial position than 12 months ago, and maintain a substantial order book is impressive, but to do so in the midst of the operational and economic
challenges presented by COVID-19 is exceptional,” Mr Norwell said.

“Perenti experienced isolated impacts of COVID-19 at Perenti’s projects, with a strong response by our internal executive led COVID-19 taskforce. The company also achieved tangible progress against key initiatives under the
2025 Group strategy, positioning Perenti for the future.

“Of note, we converted close to 100 per cent of earnings into cash, remained focused on capital discipline, and made considerable progress in transforming our Surface business in Africa, AMS, with stronger financial
performance in the second half of FY20. Meanwhile, Underground delivered standout financial and operational performance through the Barminco and AUMS businesses across both Australia and Africa.

“We also secured almost $1 billion in contact extensions and new work across our Surface and Underground ISGs in FY20 and successfully commenced operations in attractive mining jurisdictions of Botswana and Canada.

“Importantly, we continued to look to the future by investing in the business and our people that will enable us to deliver on our 2025 Group strategy.

“The results and achievements reflect the dedication of our high calibre team and the strength of our operating discipline and I would like to thank our employees and their families for their support.”

For more information on Perenti’s FY20 Results visit the investors page .

Perenti Group Managing Director Mark Norwell outlines company response to COVID-19

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Yesterday morning Perenti Group Managing Director & CEO Mark Norwell spoke to investors regarding the situation facing the Group and how it is responding to the current COVID-19 pandemic.

He stressed that to date there has been minimal impact on the company’s operations but Perenti remains mindful of the considerable impact COVID-19 is having globally.

Mr Norwell said the company’s key priorities in dealing with COVID-19 is the health and safety of its people, limiting the spread of the virus and delivering value for its customers by doing everything possible to continue operating safely in what is a complex and everchanging environment.

“We are focused on protecting the wellbeing of our people and working closely with key stakeholders so that we can continue to operate safely and effectively during this unprecedented period,” he said.

 “We are doing all that we can to minimise any disruption and we will continue to focus on capital management as part of our 2025 Group strategy to ensure Perenti is well positioned to deliver through all economic cycles.”

Mr Norwell also praised employees who had gone above and beyond in recent weeks, especially expats who had stayed in country to support its international operations, FIFO workers for their resilience as well as the families of all its employees for their support and understanding.

Perenti reports strong FY20 H1 earnings as it delivers against 2025 strategy

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Perenti has delivered a strong result in HY20, with the Company on track to meet its most recent FY20 earnings guidance. Perenti Managing Director Mark Norwell said the HY20 results demonstrated the diversity and resilience of the expanded Group.

“At a Group level our underlying earnings were strong, which was an impressive achievement, given the challenges in African Mining Services (AMS), demonstrating the breadth of Perenti’s portfolio,” Mr Norwell said.

“Perenti’s underground mining business, across Australia and Africa, performed exceptionally well, with earnings growing by more than one-third over the prior corresponding period as we successfully integrated Barminco into the Perenti group.

“Meanwhile, in our surface mining business, our Ausdrill operations in Australia performed in line with expectations but our AMS operations in Africa delivered an unsatisfactory result that impacted Group earnings.

“A key focus of our 2025 Group strategy has been on the transformation of AMS, with a range of initiatives underway including enhanced earnings, cash conversion, and efficient capital management.

“In addition to the AMS transformation initiative, a strategic review of AMS has now commenced that will thoroughly assess the business more broadly.

“In November, 19 of our employees tragically lost their lives and a further 26 were injured as a result of an unprecedented terrorist attack in Burkina Faso. In response, we reassessed where and how we operate, with Perenti ceasing operations in Burkina Faso’s higher risk locations given the current security situation. We also continue to do everything possible to ensure that all injured employees, work colleagues and impacted families are receiving the best possible care and support.”

To see the full FY20 H1 results please visit the Investor Section of our website.

Perenti Surface Business secures more than $150 million in work

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Perenti is pleased to announce its Surface Mining Industry Sector Group (ISG) has been awarded $155.5 million in new and extended contracts.

Perenti Group Managing Director Mark Norwell said the contracts reflected Perenti’s ability to deliver value for its clients by performing quality work across the Group’s diverse Surface portfolio.

“We have been targeting a strong pipeline of surface and underground work and I am pleased we continue to convert these opportunities into secured contracts across a range of different projects in both Australia and Africa,” Mr Norwell said.

“These latest awards add to $165 million in surface work we announced in December 2019 and the $200 million contract we recently announced for our Underground ISG.

Perenti Surface Chief Executive Officer Scott Winter added: “Through our surface business, we continue to demonstrate our leading expertise and reputation in the sector. This has resulted in a number of contract extensions and expansions for our quality client base.”

The new work, extensions, and expansion of scope is across ten projects, with highlights including:
• A 3-year contract (with options to extend) for production drilling services with Boggabri Coal Operations (a part of Idemitsu Australia Resources Group) at its Boggabri Mine in New South Wales.
• A 3-year contract extension with a major iron ore producer for reverse circulation (RC) and grade control (GC) drilling at its Western Australian operations.
• A 12-month contract extension with Consolidated Minerals to support current mining operations and regional expansion projects.
• Expansion of services for a major mining contractor in Queensland which will double the contract value across the current three-year contract duration.
• A 12-month extension to existing works at Gold Fields’ St Ives and Granny Smith projects, which involves land and lake rigs for air core, RC and diamond drilling.
• An equipment hire agreement with E&P at Gold Fields’ Damang Mine in Ghana.

Full ASX Announcement can be downloaded here.

Barminco successfully pilots Remote Operations Centre – BROC

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Leading underground mining services provider Barminco, a subsidiary of Perenti, has successfully piloted a new operations centre that allows it to remotely operate underground equipment on a client’s mine site anywhere around the world.

In what the company believes is a world first, Barminco operated a machine, working underground, from its head office in Perth at a client mine site in the Goldfields. 

The innovation was made more impressive given the remote operation occurred via the internet, instead of through a fibre-optic cable, which is the method that mine owner-operators have historically used.

Operating remotely from Perth

Barminco Chief Executive Officer Paul Muller announced the momentous achievement at the third annual Sandvik Digitalization in Mining Event in Brisbane.

“Barminco has cemented its place as one of the world’s leading underground mining service providers through the use of technology and automation,” Mr Muller said.

“A key strategic initiative under our parent company, Perenti’s, 2025 strategy is to deliver a ‘technology driven future’, and our ability to remotely operate underground machinery from our head office is a significant achievement in delivering on that strategy.”

The Barminco Remote Operating Centre or BROC was successfully trialled in collaboration with Sandvik and Independence Group NL (IGO) back in July of this year.

The new system was trialled in the early morning at Barminco’s Head Office in Hazlemere (Perth, Western Australia) for a machine located at IGO’s Nova Minesite, almost 1000 kilometres away.

Map Perth to Nova – Distance
Remote operations onsite at Nova

Barminco General Manager Technology and Innovation Darren Kwok said the trial was a great success.

“Whilst many mine sites have operators remotely operating equipment from the mine’s surface, we are one of the first, if not the first service provider, to operate underground equipment on a client’s site from a much greater distance,” Mr Kwok said.

“BROC enables us to connect multiple sites and operators at the same time, meaning if there is an issue at any point, we have contingencies in place.”

Barminco Remote Loader Operator

Barminco’s first trial involved the remote operation of a Sandvik LH517 loader being operated in Perth by Barminco employee, Guy Gilbert and Mr Kwok said Barminco was now working with IGO to make BROC a permanent fixture at their Nova mine site.

“The advantages in improving the safety of our workplace and the efficiencies for our clients are enormous,” Mr Kwok said.

Surface Remote Operations at Nova

Independence Group Chief Operating Officer Matt Dusci said the Company was thrilled to be part of the successful trial.

“At IGO, we continually look for ways to improve how we do business and deliver operational excellence. By integrating innovative SMART solutions at our operations, such as working with Barminco on BROC, we improve the safety and wellbeing of our people, realise step change opportunities, and optimise efficiencies and productivity,” Mr Dusci said.

“Our future plan is to have a dedicated remote operating centre manned 24/7 where our team and our client’s people can work collaboratively side by side to deliver a world class mine-site,” Mr Kwok said.

“Clients who work with Barminco should expect more from our business along with the broader Perenti group of companies and BROC is one such example of how we are delivering on this promise.”

Underground remote set-up at Nova

The Sandvik event concludes tomorrow and showcases best practice examples of industry leaders integrating digitalization into their operations across the mining, construction and quarrying industries.

The announcement comes just over a week after Barminco was awarded Large Employer of the Year 2019 at the National Australian Training Awards in Brisbane.

The award acknowledges a company which is focused on upskilling and advancing its employees and we were recognised for our leading focus on ensuring our employees are the best they can be.

Perenti delivers on transformational year, forecasts growth in FY20

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Diversified mining services company Perenti Global Limited (Perenti) (ASX: PRN) has delivered a strong result, outperforming earnings guidance for the third consecutive year whilst successfully completing the acquisition of underground mining contractor Barminco that has transformed the business.

Perenti Managing Director and CEO Mark Norwell said the FY19 results demonstrated the scale of the Group’s transformation during the year.

“This strong result demonstrates our ability to continue to deliver for our clients in the year whilst ensuring we successfully integrated the Barminco business,” Mr Norwell said.

“We have evolved from an Australian drilling business into a global mining services company, with a workforce of more than 8,000 people working at more than 50 projects across four continents.

“We have used this transformational year to build on our proud heritage by establishing a new operating model and implementing the 2025 Group strategy, with our aspiration to become the indispensable mining services company.

“Our recent group rebrand to Perenti gives us a strong and identifiable brand in the market and a platform to grow our business in the future while the evolution of our tagline to Expect More supports our aspiration and purpose, underlining our commitment to deliver for all our stakeholders.

“With a strong balance sheet and an order book that has grown to $7.0 billion after securing $3.4 billion in new and extended contracts since 1 July 2018, Perenti is well positioned for growth in FY20.”

To view the full ASX release and Annual Report visit our Investor Centre.

Introducing the new name in mining services – Perenti

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Ausdrill Limited is pleased to announce that the Ausdrill Group is adopting a new brand and identity, “Perenti“. “Perenti Global Limited” will be the trading name of the Group company and listed entity and will sit above the Industry Sector Groups (ISGs); Surface Mining, Underground Mining and Investments.

The Board considers the new name and brand better reflect the Group’s status as a diversified global mining services group and provides a strong platform that will support the Group’s strategic direction and future growth ambitions. 

The Group’s Managing Director Mark Norwell said the change represents a new chapter in the Group’s proud history and is a natural step given the evolution of the business. 

“Over the past year there has been transformational change within the Group. We have doubled our revenue through the acquisition of Barminco, developed a new strategy and implemented a new operating model to set a platform for future growth.

“We have evolved from an Australian drilling company into a global mining services company that has businesses in surface mining, underground mining and mining support services (our Investment ISG). We have offices and operations in four continents across 13 countries and we employ more than 8,000 people globally.”

Mr Norwell said having a strong, identifiable brand is a critical enabler of the Group’s growth strategy.

“As a group of businesses we are resilient and agile and have the ability to embrace change, a key aspect that is directly embedded in our company principles. We also pride ourselves on successfully operating in many challenging and remote locations the world over.

“This name change is more than cosmetic, it’s an important step in culturally binding our businesses together under a common identity and it supports our new aspiration, purpose and strategy we rolled out earlier in the year,” Mr Norwell said.

Existing customer facing brand names will be retained as they are well established in their respective markets. The Ausdrill name has a long and proud history and that name will be retained for the Group’s surface drilling operations in Australia. In addition, our other iconic brands such as Barminco, BTP, AMS and more, will continue to be used in their own right.

To support the new brand and direction the Group has also evolved its tagline from Bringing More to Mining, to Expect More, underlining a commitment to all its stakeholders. 

“For the Group to achieve our aspiration and deliver our purpose we have to constantly raise the bar in everything we do. Our stakeholders, whether they are customers, suppliers, employees or the communities we operate in, should Expect More from us,” he said.

For more information visit our investor page.

Group Managing Director Mark Norwell’s presentation at Diggers and Dealers 2019

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Perenti Global was the only mining services company to be presenting at Diggers & Dealers 2019. The message from our Group Managing Director Mark Norwell at the mining forum was clear. The Group has undergone transitional change over the last 12 months, doubling our revenue, bolstering our leadership team and laying the foundation blocks for future growth. These are exciting times to be part of the Group.

AMS appointed preferred open pit mining contractor at Sanbrado

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The Group is pleased to announce that its wholly owned subsidiary, African Mining Services (AMS), has been selected as the preferred open-pit mining contractor by West African Resources Limited (ASX: WAF) at the Sanbrado Gold Project in Burkina Faso.

The Sanbrado Gold Project is a low-cost, high-grade operation located only 90 kilometres from the country’s capital, Ouagadougou, and is the 14th commercial gold mine in Burkina Faso in 14 years.

The project economics are robust, with Sanbrado forecast to have average annual production of 217,000oz gold at All-In Sustaining Costs of less than US$600/oz in its first five years of mine life.

The AMS scope of work includes a full suite of open pit mining services – including site preparation, drill and blast, load and haul, and maintenance works – over a five year term, generating approximately AUD$235 million in revenue under a schedule of rates contract.

AMS anticipates it will employ approximately 190 personnel at the project, with the workforce to be predominantly local. AMS expects to use a mix of new and existing equipment to deliver on the project.

AMS and West African Resources are in the process of finalising the contract terms, which will include the provision of an optional deferred payment arrangement for up to US$10m at a commercial interest rate, with works expected to commence in early CY2020.

Perenti Managing Director, Mark Norwell, said:“A key focus for the group has been to enhance our surface operations in Africa and target substantial growth opportunities across a range of commodities in select African countries.

“Being selected as preferred contractor at the Sanbrado Gold Project is a significant achievement and represents the excellent progress we are making in building on the suite of quality projects on which AMS operates in the region.”

Ausdrill Surface CEO, Scott Winter, said: “The Group has been operating in Africa for almost 30 years and we will draw on our leading expertise in open pit contract mining to deliver on this exciting new gold project for West African Resources.”

West African Resources Managing Director, Richard Hyde, said: “Sanbrado is the highest margin gold project in construction in West Africa and we are on target for approximately 300,000 ounces of gold in the first 12 months of production. We look forward to partnering with AMS to bring this fully funded project into production in mid-2020.”

Barminco secures five year A$800 million contract in Botswana

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Diversified mining services company Perenti Global Limited (ASX: PRN) is pleased to announce its subsidiary, leading hard-rock underground miner Barminco, has been awarded a 5-year underground mining services contract at the Zone 5 Mine in Botswana from Khoemacau Copper Mining (Pty) Limited (Khoemacau) worth approximately A$800 million.

Perenti Managing Director Mark Norwell said: “We are very pleased to have been awarded this significant contract in Botswana, a highly desirable country to do business in Africa. This contract award is further endorsement of our acquisition of Barminco and its strong contribution to our international growth strategy.”

Khoemacau’s Zone 5 operation is a new, large and long-life mine development project located in the highly-prospective Kalahari copper belt in Botswana. Barminco’s scope of services includes mine development, establishment of underground mine infrastructure, diamond drilling and mine production at an initial rate of 3.6 million tonnes per annum of copper ore with multiple expansion opportunities.

Barminco will commence mining services in December 2019. In awarding the contract, Cupric Canyon Capital and Khoemacau Chief Executive Officer Johan Ferreira said: “We are delighted to partner with Barminco at Zone 5 to create a safe, largescale, highly productive and fully mechanised mine, delivering high quality employment and sustainable skills development and employment outcomes for Botswana citizens.”

Barminco Chief Executive Officer Paul Muller said: “In addition to excellent safety, quality and productivity outcomes at Zone 5, success will also be measured by the creation of a highly skilled local workforce through effective training, skills transfer and leading technology programs.”

BTP secures 3-year contract extension with Peabody Energy

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Diversified mining services company Perenti Global Limited (ASX: PRN) is pleased to announce its earthmoving parts and equipment subsidiary, BTP, has been awarded a three-year extension worth $126 million to its existing contract with Peabody Australia. Under the extension BTP will continue to rent mining and ancillary equipment to Peabody’s coal mines located in the Hunter Valley and Bowen Basin.

BTP has been working as a key partner with Peabody since April 2015. This three-year contract extension is effective from 1 April 2019, with Peabody having an option to extend this by a further two years.

Perenti Managing Director, Mark Norwell, said: “We are delighted to have been awarded this contract extension and look forward to continuing to provide equipment and related services to Peabody, building on the strong relationship BTP has formed with Peabody over a number of years.” Peabody (NYSE: BTU) is the leading global pure-play coal company and a member of the Fortune 500, serving power and steel customers in more than 25 countries on six continents.