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Ausdrill Wins $557 Million African Contract

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(Kitco News) - Audrill's October acquisition is paying off: underground hard-rock mining contractor Barminco, which was acquired by Ausdrill last fall for $188 million in cash and stock, won a five-year commitment from Khoemacau Copper Mining to help build its Zone 5 Mine in Botswana.

Ausdrill announced the $557 million ($A800 million) contract today. Ausdrill said the scope of services includes "...mine development, establishment of underground mine infrastructure, diamond drilling and mine production at an initial rate of 3.6 million tonnes per annum of copper ore with multiple expansion opportunities."

Work is expected to start December 2019.

Ausdrill Managing Director Mark Norwell said Barminco is helping grow Ausdrill's business.

"This contract award is further endorsement of our acquisition of Barminco and its strong contribution to our international growth strategy," said Norwell in a statement.

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