Mineral Resources lines up Ausdrill for $180m lithium contract

Mining services company Ausdrill has received a letter of intent from miner Mineral Resources for a three-year contract at the Wodgina lithium operation in the Pilbara of Western Australia.

The proposed contract, with Mineral Resources subsidiary Process Minerals International (PMI), is expected to generate $180 million in revenue over the three-year term.

Ausdrill will provide drill and blast services at the Wodgina project, using 29 drill rigs and 150 on-site workers, the Perth-based contractor explained.

Ron Sayers, Ausdrill managing director, commented: “We are very pleased to have successfully negotiated this new contract and look forward to working closely with the PMI team in building a successful partnership.”

Final award of the agreement is subject to the two companies finalising contract terms and conditions, as well as execution of the contract.

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