Perenti (ASX:PRN) announced a 12-month contract extension for its subsidiary, Barminco, at the Duketon Operations in Western Australia.
The agreement, made with Regis Resources (ASX:RRL), solidifies Barminco’s role as the primary provider of underground mining services within the Goldfields region until at least March 30, 2029.
The latest development adds approximately $180 million in contract value to Perenti’s portfolio, notably requiring no new growth capital to execute.
The extension is a continuation of an initial alliance agreement established in April 2024, which featured a three-year base term and a rolling mechanism for annual renewals.
Under the renewed terms, Barminco will continue to deliver comprehensive underground development, production, and essential support services.
Leadership from both organisations cited a history of strong safety performance and operational excellence as the catalyst for the deal.
Mark Norwell, Managing Director and CEO of Perenti, emphasised that the extension reflects the "strength of our long-standing relationship" and the collaborative culture between the two mining entities.
Echoing this sentiment, Gabrielle Iwanow, President of Contract Mining, highlighted that the alliance framework provides critical planning certainty for both Barminco and Regis Resources.
At the time of reporting, Perenti’s share price was $2.08.