Golding acquires HSE Mining assets in $85m transaction

Metallurgical coal.
Metallurgical coal.

Golding Contractors will acquire the mining services contract, associated fleet and transfer of employees of HSE Mining deployed at Stanmore Resources’ South Walker Creek (SWC) mine site in central Queensland.

The transaction value of $85m will be funded via leading national mining and civil contractor NRW Holdings’ (ASX: NWH) asset finance facilities, as Golding is a wholly owned subsidiary of NRW.

The agreement is expected to generate about $250m in annual revenue and is set to expire in August 2025. During this time, Golding will employ about 550 HSE personnel and operate the heavy mining equipment presently deployed at the SWC mine site.

NRW managing director and chief executive officer Jules Pemberton says this acquisition continues NRW and Stanmore’s long-standing association.

“I am delighted that NRW has been successful in acquiring the HSE Mining assets and inventory and securing the novation of the mining services contract with Stanmore at South Walker Creek,” he said.

“NRW, through our Golding and Action Drill & Blast businesses, has had a long association with Stanmore and I look forward to our teams continuing to deliver industry leading services.

“I also look forward to welcoming the HSE personnel into the Golding and broader NRW team.”

Financial close is expected at the end of July 2024 after HSE and Golding work through transition agreements.