African Mining Services (AMS), the wholly owned subsidiary of diversified mining services company Ausdrill, has successfully secured contracts with AngloGold Ashanti in Ghana and Guinea and an extension of a long term contract.
The first is a 12 month contract (with option to extend for 4 years) to provide mining services to AngloGold Ashanti at its Iduapriem gold mine, located in Ghana, with the 12 month contract valued at approximately $US18 million.
The second is a 36 month contract (with an option to extend for 12 months) to provide mining services to AngloGold Ashanti at its Siguiri gold mine, located in Guinea, with a contract value of approximately US$135 million.
The contract award is dependent on the successful signing of a commercial agreement which is currently under way. Furthermore, the above contracts require minimal capital expenditure as most of the equipment will be sourced internally.
Finally, a 5 year contract extension to Endeavour Mining at its Nzema gold mine, located in Ghana, where AMS has been providing open pit mining services since 2010, was also awarded to the company. This contract extension is valued at approximately US$147 million.
Ausdrill’s Managing Director, Ron Sayers, said: “It is pleasing to see the award and renewal of contracts where Ausdrill has had long term relationships with our clients. These contracts bode well for a better 2015 for Ausdrill.
“We are also actively pursuing additional work with other tender opportunities both in Africa and Australia, and we anticipate securing additional work in the next six months.”