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CONSTRUCTION company Watpac Limited (ASX:WTP) has secured a $17 million contract to provide mining services for Ramelius Resources Limited in Western Australia.
Watpac will control surface mining works at the Kathleen Valley gold project, which includes clear and grub, topsoil removal, load and haul, drill and blast and dewatering operations.
The contract spans for 12 months at the project's Mossbecker and Yellow Aster Pits.
Watpac managing director Martin Monro says the deal reflects the company's commitment to building strong relationships with its clients.
"This is Watpac's third project with Ramelius, and is a testament to our approach of working closely with our clients to maximise their production and cost efficiencies," Monro says.
"We have a highly capable and dedicated team in our mining and civil business and believe Watpac can continue to operate successfully in this market notwithstanding the current challenging conditions."
Watpac mining and civil general manager Russell Hall says the team is looking forward to working with one of the firm's key clients.
"Watpac has been undertaking mining services works at Ramelius' Mt Magnet Gold Mine since 2011 and we also delivered the Coogee Open Pit project for Ramelius in 2014," Hall says.
"We are delighted to be building on our already strong relationship with Ramelius and look forward to commencing operations at Kathleen Valley."
The contract follows existing mining services partnerships at Hanking Gold's Southern Cross gold operations, Pluton Resources' Cockatoo Island iron ore project and Iluka Resources' Tutunup South mineral sands mine.
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