Thiess, CIMIC’s mining services provider, has been awarded a $300 million contract by Kaltim Prima Coal (KPC) to expand operations at the Sangatta coal mine in East Kalimantan, Indonesia.
The contract will extend the current life-of-mine contract, increasing coal production at the Melawan pit by 12 million tonnes (Mt) and overburden removal by 130 million bank cubic metres (bcm) over four years, until December 2021.
Thiess managing director Douglas Thompson said he was delighted to strengthen the company’s long-term relationship with KPC to deliver cost-effective outcomes.
“This expansion builds on our successful history at Sangatta where we have been operating since 2003 and reflects our ability to deliver cost-effective and scalable solutions tailored to our client’s production and expansion needs,” Thompson said.
CIMIC chief executive officer Adolfo Valderas said the contract demonstrated Thiess’ long-standing commitment to delivering value to clients across the global mining platform.
“I am pleased to see our team continue to grow and prosper in Indonesia, where we have been operating for some 29 years,” Valderas said.