Barminco wins first US mining contract with Nevada Gold Mines

Australia’s Perenti (ASX: PRN) announced on Tuesday that its underground mining business, Barminco, has secured a A$120 million contract with Nevada Gold Mines (NGM) in the US to undertake underground development and ground support at the Goldrush project.

NGM represents the largest gold-producing complex in the world, with 10 underground mines and 12 surface mines. It is a joint venture between Barrick Gold (61.5%) and Newmont (38.5%), two of the biggest gold mining companies in the world.

The Goldrush project is a new underground development for the Barrick-operated joint venture, targeting production of approximately 400,000 annually by 2028 with a 24-year life of mine.

“Securing the Goldrush underground project is an excellent achievement by our Barminco North America team,” Perenti CEO Mark Norwell said in a press release.

Most of the company’s projects are currently based in Western Australia and Africa. Goldrush would be Barminco’s first in the US.

Norwell noted that fellow Perenti business, Swick, has operated in the US since 2009 and shared valuable experience with Barminco.

“Consequently, we are very pleased to be awarded this project and continue our strategic expansion into the North American market,” he said.

Gabrielle Iwanow, president of contract mining at Perenti, said the contract win represents “a milestone achievement for Barminco” and the company’s growth strategies.

The contract for the Goldrush project will run for a period 36 months.