St Barbara has appointed Macmahon Holdings as the underground mining contractor at the Gwalia mine at Leonora in WA.

The initial contract term is five years, with an option for St Barbara to extend for a further three-year period.

According to St Barbara Managing Director and CEO Craig Jetson, the appointment of Macmahon brings an opportunity to enhance the performance of the Gwalia mine.

“This change is indicative of St Barbara’s determination to enliven Gwalia’s future, to safely and sustainably rebuild operational performance and to secure future investment by delivering predictable and strong financial returns,” he said.

“We would like to thank Byrnecut for their service over the past seven years and look forward to an orderly and effective transition.

“During the handover period management will be focused on the wellbeing of our people and continuity of operations.”

The new contract terms dictate an appropriate risk responsibility between the contractor and St Barbara and is expected to improve underground mining performance and productivity, while reducing operating costs.
Worker headcount is expected to remain stable.

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