Sedgman Wins $120 Million Thermal Coal Contract Extension
By Vanessa Zhou
January 4, 2021 - CIMIC Group subsidiary Sedgman has received a $120 million contract extension at Mach Energy’s Mount Pleasant thermal coal mine in New South Wales, Australia.
The extension will see Sedgman operate and maintain the Mount Pleasant coal handling and preparation (CHPP) facility for an additional three years, bringing Sedgman’s total revenue at the site to $200 million.
The Mount Pleasant operations in New South Wales.
Image: Mach Energy
Sedgman managing director Grant Fraser said that the latest contract was testament to the partnership the company had forged with Mach Energy, and the integration of its engineering and operations capability.
CIMIC Group chairman and chief executive officer Juan Santamaria agreed, stating that Sedgman and CIMIC had a strong history with Mach Energy.
“Sedgman’s leadership in minerals processing will ensure maximum resource recovery for our long-term client,” he said.
Sedgman completed the Mount Pleasant CHPP construction and has been operating the plant since 2019.
Mach Energy is owned by Indonesia’s Salim Group subsidiary Droxford International, and was created to acquire Mount Pleasant from Rio Tinto in 2015.
The company has received approvals to produce up to 10.5 million tonnes of run of mine thermal coal a year at the site. This is underpinned by 474 million tonnes of reserves.
Mach Energy delivered first production at Mount Pleasant in late 2018.