Thiess wins A$300m Sangatta expansion contract

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CIMIC Group’s global mining services provider, Thiess, has won a multimillion contract by Kaltim Prima Coal (KPC) to help the company expand its operations at Sangatta coal mine in East Kalimantan, Indonesia.

CIMIC Chief Executive Officer Adolfo Valderas said the deal, valued at A$300 million, will extend the current life-of-mine contract, increasing coal production at the Melawan pit by 12 million tonnes and overburden removal by 130 million bcm over four years, until December 2021.

“This contract demonstrates Thiess’ longstanding commitment to delivering value to our clients across our global mining platform,” Mr Valderas noted.

“I am pleased to see our team continue to grow and prosper in Indonesia, where we have been operating for some 29 years.”

CIMIC Group Mining and Minerals Executive and Thiess Managing Director, Douglas Thompson said the deal would strengthen Thiess’ long-term partnership with KPC as the two companies work together 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,” Mr Thompson concluded.

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