Drillforce named preferred supplier for SMS Mining Services Mid-west Hub
Aquirian Limited (ASX: AQN) has announced that its wholly owned subsidiary Drillforce has been selected by SMS Mining Services as the preferred supplier for Drill and Blast services to its Mid-west Hub Operations. The initial mining scope term is 24 months and is valued at approximately A$32 million.
The scope leverages Aquirian’s Technology and Energetics package and includes full drilling and blasting services. The contract is to be performed under a Strategic Framework Agreement (‘SFA’) with site schedules, and is currently under final negotiation.
For a technology led mining services company, the announcement points to a sizeable services contract with a defined term and a stated rig commitment. Key terms are set out below:
- Customer: SMS Mining Services
- Initial mining scope term: 24 months
- Value: approximately A$32 million
- Equipment: three Drillforce rigs and site infrastructure
- Expected start: January quarter 2027
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Contract scope and why the location matters
What Drillforce will deliver
Drillforce will provide full drilling and blasting services using Aquirian’s Technology and Energetics package, utilising three Drillforce rigs and site infrastructure. Works are expected to commence in the January quarter 2027.
| Contract element | Detail |
|---|---|
| Customer | SMS Mining Services |
| Status | Preferred supplier; currently under final negotiation |
| Scope | Full drilling and blasting services, leveraging Aquirian’s Technology and Energetics package |
| Contract structure | Strategic Framework Agreement (‘SFA’) with site schedules |
| Initial mining scope term | 24 months |
| Value | Approximately A$32 million |
| Expected start | January quarter 2027 |
Regional advantage
The Mid-west Hub is located on the Great Northen Highway, 200km north of Western Energetics’ Wubin facility. According to the company, the location leverages internal supply, resourcing and support in the region.
Aquirian has a long-dated precedent on the energetics side in the Mt Ida contract extension, a roughly $21 million, three-year deal taking Western Energetics supply to December 2030 with no extra capex.
Drill and blast technology: why it won the work
Drill and blast services involve drilling holes into rock, loading them with explosives and firing them to fragment the rock for mining. The method and technology used can affect both the cost and the efficiency of that process.
Aquirian’s Managing Director said its patented technology was central to the selection. He said it removes traditional collar piping, which has historically impacted operations.
The same technology underpins the Brightstar Goldfields Hub partnership, where automated drill operations on Epiroc T45 rigs are aimed at lower ore dilution and reduced crusher downtime.
Greg Patching, Managing Director
“We are really pleased to be selected as preferred supplier by SMS Mining Services for its expansion into the mid-west region. Our patented technology was central in our selection and will add significant benefit to the projects through removal of traditional collar piping which has historically impacted operations in the past…”
Mr Patching also described the Mid-west Hub as a platform for further work. “The development of the Mid-west Hub provides SMS and Drillforce a platform to accommodate additional growth projects in the future,” he said, adding that Aquirian is committed to the mid-west region.
What happens next for Aquirian
Two steps are stated in the announcement:
- Final negotiation of the SFA: the Strategic Framework Agreement (‘SFA’) with site schedules is currently under final negotiation between Aquirian’s subsidiary Drillforce and SMS Mining Services.
- Commencement of works: works at the Mid-west Hub are expected to commence in the January quarter 2027.
For investors, the announcement combines preferred supplier status, a defined 24 month initial mining scope term valued at approximately A$32 million, and a Mid-west Hub that management describes as a platform to accommodate additional growth projects.
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