Mastermyne’s results also benefited from its decision to diversify into underground directional drilling, ventilation services and added mechanical, and maintenance and workshop capabilities, chief executive Tony Caruso said.
“Delivering the first annual results ahead of budget was a good result for the newly listed business and reflects the quality and resilience of Mastermyne’s operations in what has been an uncertain year for mining-related businesses,” he said.
“Mastermyne is continuing to see a fundamental shift in the way that mine operators are engaging contractors, favouring larger contracting groups like Mastermyne who can provide a range of services.”
The Mackay-based company, which listed on the Australian Securities Exchange in May this year, also bettered its annual revenue forecast by 4.5%, reporting a $93.94 million figure, and now boasts a full order book for 2011.
Hunter Valley projects are now dominating Mastermyne’s business development and tendering efforts, and its engineering division recently relocated to larger premises in Newcastle to cope with expansion into New South Wales.
As part of its strategy of targeting second tier miners, the company is tendering for work at Whitehaven (Narrabri), Centennial (Airley), Yancoal (Austar), Peabody (Wambo), Ensham Resources (Ensham U/G) and Gujarat (NRE Colliery), and is in detailed discussions with Yancoal (Moolarben) and Centennial (Newstan, Angus Place, Mandalong).
Mastermyne managed to achieve a 39% reduction in the injuries compared to the previous financial year.
“This has been an excellent performance especially given it was achieved against the group’s already low base last financial year,” Caruso said.
The company also sourced a new LM90 directional drill rig in preparation for directional drilling activities in FY11 which is expected to arrive in September.
In its services division several projects are currently at tender stage and its ventilation services activities will expand at the Moranbah North and Kestrel Mine Extension mines by year-end.
A services workshop is functioning in Mackay, and two mechanical and electrical projects are underway there.
The company has increased the overall manning numbers by 40% in FY10 to 564 employees after it acquired and integrated the Hunter Valley underground contracting business.
“The Mastermyne group is progressing well with its plans to double the size of the business in the next three to five years,” Caruso said.
“The company will do this through the continued business development focus in the Hunter Valley region to expand market presence in this area.
“Also through the placement of the first directional drilling rig with a view to further drill rigs being introduced and expanding the range of services offered by the group.”
Recruitment initiatives to source further employees to meet the growth of the business – which includes construction of a training centre and overseas recruitment – have also been initiated.
