Swick awarded three-year extension with gold JV

Image: Swick.

Swick Mining Services has been awarded a three-year contract extension at the Nevada Gold Mines Joint Venture (JV) in the United States, expanding the contractor’s work in hand to $353 million over three continents.

The Western Australian-based mining services company has also been chosen as the preferred tender by Silver Lakes Resources to provide underground core drilling services at the Mount Monger operation near Kalgoorlie.

In addition, Swick will increase its scope at Northern Star Resources’ Jundee mine in Western Australia, expanding its fleet from nine to 14 full time underground diamond coring rigs. Northern Star will become Swick’s largest client with the expansion at Jundee.

These contract renewals and awards secure work for eight existing rigs, as well as 10 additional rigs.

According to Swick managing director Kent Swick, the awards have resulted from the company’s strategy of deploying rigs at high quality projects and the contractor’s established place in the US underground drilling market.

“We are delighted to be deepening our relationships with existing clients and, in the case if the new work with Silver Lake, returning to a project where we have extensive experience,” Swick said.

Swick’s US division has worked with Barrick Gold in North America since 2013. The company currently operates eight rigs between Turquoise Ridge and Cortex Hill gold mines.

The contractor’s three-year extension from Barrick Gold, which operates the Nevada Gold Mines JV between Barrick (61.5 per cent) and Newmont Goldcorp (38.5 per cent), means the deployment of two additional rigs.

“It is particularly pleasing that our international strategy is yielding significant results, with a third of our total deployed underground diamond drilling rigs now operating outside of Australia,” Swick said.

Nevada Gold Mines JV produced over four million ounces of gold last year, more than double the next largest gold mining complex.

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