Thiess bags $390m of coal contract extensions

The Satui operation

Thiess has secured two more contract extensions in Indonesia’s coal industry.

The CIMIC mining services division was awarded a $240 million contract extension at Arutmin’s Satui mine and a $150 million extension at its Senakin mine, both in South Kalimantan.

At the Arutmin, CLS-managed Satui project, Thiess will continue to provide mining services at the mine’s Hanoman West pit, including overburden removal, coal mining, and port operation support over three years.

According to Thiess, the successful implementation of an innovative mining plan at the mine resulted in the extension. The new contract involves mining around 7 million tonnes of coal and 83 million bank cubic metres (bcm) of overburden.

CIMIC chief executive officer Michael Wright said Thiess’ ability to offer clients smart solutions helped to unlock added value at Satui.

“The team has delivered significant productivity and cost efficiencies at Satui, through innovative mine planning and engineering and we will continue this drive in the future,” Wright said.

At the Senakin mine, Thiess’ has secured a two-and-a-half year contract extension to continue to provide coal mining services across the project, including overburden removal, coal handling and preparation. The extension involves mining 5Mt of coal and 52bcm of overburden.

Thiess managing director Douglas Thompson described the Senakin contract extension as a great opportunity to continue the contractor’s long-standing relationship with Arutmin.

“Thiess has been the sole mining contractor of the Senakin coal mine since 2000, and we will continue to bring our expertise and knowledge of the site to extract the remaining reserves,” Thompson said.

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