Alliance Aviation Services executes five-year contract with BHP Nickel West

Alliance Aviation Services (ASX:AQZ) has executed a five-year contract with BHP Nickel West.

Nickel West was Alliance’s first client in WA with services beginning in 2006. Since then, Alliance has operated continuously for Nickel West and when this five-year contract ends, operations would have run for 23 years.

Under this new contract, Alliance will be the primary air charter services provider for Nickel West.

Spanning throughout WA, Nickel West comprises of open-cut and underground mines, concentrators, a smelter and a refinery.

In FY23, nickel production at Nickel West was up 4% from FY22 to 80kt due to an increased proportion of concentrate, matte products and inventory drawdowns. Additionally, cobalt production totalled 752kt for the year.  

Production is expected to be between 77kt and 87kt in FY24.

Alliance managing director Scott McMillan commented on the extension.

“We are delighted to be able to continue to supply air services to our first ever client in WA, BHP Nickel West,” he said.

“This contract award is further evidence of Alliance’s history of outstanding customer retention and proof that our staff continue to deliver safe and industry leading on time air charter services.”

This news follows Alliance extending another contract with BHP at the Olympic Dam project.