Provider of integrated mining products and services Industrea Ltd
(ASX:IDL) has secured a new order from China which boosts the company’s contract wins to $10 million a month in fiscal 2010.
The company has secured a $6.5 million order with Shanxi Shenfu South Section Produce and Service Corporation for four of Industrea Mining Equipment longwall roof support carriers and associated spares.
Industrea says Chinese product contracts now total $43 million since the start of the 2009/2010 financial year.
The company says the Chinese coal industry’s productivity push continues to deliver growth opportunities for Industrea.
CEO Robin Levison says China’s push to consolidate smaller mines and improve mining productivity and safety has now lead to the larger electricity producers establishing their own large coal mines as a source of guaranteed supply, and says the company expects a number of similar orders from other electricity producers.
Industrea is forecasting higher revenue and profitability in fiscal 2010 due to the strength of its Chinese business and recent growth in the mining services business, along with anticipated new export orders from South America and other markets.
Industrea’s 2009 net profit halved from the year before.
