CIMIC Group’s global mining contractor Thiess has extended its long-standing business relationship with Glencore with the signing of a $760 million agreement to operate the company’s Mount Owen Coal Mine located near Ravensworth in the Hunter Valley.
In 1995, Glencore contracted Thiess to build the Mt Owen Mine infrastructure, including the design and construction of the Coal Handling Preparation Plant, site office and workshop, fuel facilities, water supply roads and wash bays.
On completion of construction, Thiess was assigned the responsibility to oversee mining operations, which continue to date.
CIMIC Executive Chairman and CEO Marcelino Fernández Verdes said the new agreement builds on the company’s 20-year involvement at the mine.
“This contract enables Thiess to further build on two decades of continuous association with the Mt Owen operations, and the mine owner Glencore,” Mr Verdes said.
“The award recognises Thiess’ ability to provide certainty of operations, whilst seeking out innovative ways to drive efficiency.”
Thiess Managing Director Michael Wright said the new contract highlighted the company’s capability to work on large mining projects.
“Our ongoing work at this geologically complex mine is testament to the relationship between Thiess and Glencore, and the expertise within our organisation,” Mr Wright said.
“Thiess’ focus on providing innovative technical solutions and operational efficiencies, including the through-seam blasting approach we developed, is key to the ongoing value that we offer at Mt Owen.”
The Mt Owen deposit consists of multiple seams of coal dipping at angles of up to 45 degrees, with mined thickness between 0.4 and 11 metres.Thiess is currently mining at a depth of 270 metres, with annual production of 7.6 million tonnes of run-of-mine coal.