Mining and construction company Macmahon Holdings (ASX:MAH)
has been given a notice of award by AngloGold Ashanti (ASX:AGG)
, its client at the Tropicana gold mine in Western Australia, for the development of the new Boston Shaker underground mine.
The Tropicana project, which is a joint venture between AngloGold Ashanti (70% and manager) and Independence Group NL (30%), is already Macmahon’s largest mining contract in Australia.
The addition of the Boston Shaker underground work is worth approximately $170 million over five years.
Capex for the underground works is estimated to be approximately $30m, and will be primarily spread across the first three years.
Shares in Macmahon Holdings (ASX:MAH)
trading 2.22 per cent higher at 23 cents