Mining services giant Perenti has announced it has been awarded a US$235 million ($360 million) contract expansion at the Motheo copper mine in Ghanzi, Botswana.
Perenti’s surface mining business in Africa, African Mining Services (AMS), has been awarded the contract for open pit mining services at the Sandfire Resources A4 open pit within the larger Motheo mine.
AMS will deliver all surface mining services associated with development and production activities at the A4 open pit.
The A4 open pit is about eight kilometres to the west of Sandfire’s existing T3 open pit, where AMS has already progressed from development into production works.
Perenti anticipates A4 pre-production and development work to commence in September 2023, with pre-strip mining to start in October 2023.
“We are excited about the opportunity to expand our partnership with Sandfire Resources,” Perenti managing director and chief executive officer Mark Norwell said.
“Motheo is a long-life asset in the Kalahari Copper belt and the expansion of our role here is in keeping with our strategy of disciplined growth within top-tier mining jurisdictions with high quality partners.”
The T3 and A4 open pits are expected to be operated as a larger, integrated mining operation, leveraging the benefits of scale and operational synergies, which include optimisation of existing infrastructure, mining equipment, maintenance facilities and both technical and operational management.
“Since Barminco commenced operations in 2019 and AMS later in 2021, Perenti has established itself as the leading international mining contractor in the Kalahari Copper belt,” Perenti’s contract mining president Paul Muller said.
“With the award of our third mine in the region, we look forward to playing our part in Sandfire’s expansion of their world class Motheo Copper Mine.
“Beyond this, I am proud of the contribution Barminco, AMS and Perenti continue to make to the development of Botswana’s mining industry and the community more broadly.”