Africa-focused mining services company Capital has won one of its largest ever contracts and also picked up its first contract with Canadian-based B2Gold Corporation at the major Fekola gold mine in Mali. Capital executive chairman Jamie Boyton said the company continued to see “very strong demand across the market”.
A circa-US$150 million, three-year extension of its multi-faceted engagement at AngloGold Ashanti’s Geita gold mine in Tanzania was the second largest award of new business in Capital’s history, the contractor said.
Boyton said the expanded long-term contract at Geita, where Capital had 25 rigs performing development, grade control, blast hole and underground drilling, would extend the company’s relationship with AngloGold to nearly 20 years.
Capital will provide reverse circulation drilling services at the 570,000-600,000oz per annum Fekola mine, one of the continent’s largest gold producers.
Meanwhile, Capital’s MSALABS business won a two-year extension to the existing three-year onsite laboratory services contract with Kinross Gold at its Tasiast gold mine in Mauritania.
London-listed Capital will announce a six-month trading update July 19.
The company has a current market value around £154 million (US$187m).