AngloGold Ashanti extends Barminco contract with $700m deal

Source: AngloGold Ashanti

AngloGold Ashanti has awarded Barminco with a five-year $700 million contract extension at Sunrise Dam near Laverton, Western Australia.

AngloGold has been partnered with Barminco since the commencement of underground operations in 2003, when the first portal was cut.

The contract extension will support AngloGold’s plans to increase the productivity and annual production of Sunrise Dam’s underground operation beyond the current rate of 3 million tonnes per year (3Mt/y).

Underground mining carried out by Barminco is the primary source of ore for the Sunrise Dam operation.

Barminco chief executive Paul Muller said, “This contract extension speaks volumes about our commitment to AngloGold, the relationship we have built with them and the results that have been delivered at Sunrise Dam over the past 15 years.

“We are very pleased to extend our relationship and continue work to achieve our shared vision with AngloGold to further increase annual production using our latest equipment and cutting-edge technologies.”

Sunrise Dam successfully increased its production by 4 per cent in 2017 compared to the year before, hitting 238,000 ounces (oz) of gold.

Michael Erickson, AngloGold Ashanti senior vice president Australia, said, “A culture of operational excellence drives the mining strategy at Sunrise Dam, where we are targeting world-leading productivity to deliver a long-life operation with consistent cash returns.”

Sunrise Dam is 220km north-east of Kalgoorlie and 55km south of Laverton.

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