The ASX listed diversified infrastructure services company born out of Australia's greatest engineering challenge, the Snowy Mountains Hydro-electric Scheme, in 1961, SRG Global has secured significant contracts worth A$700 million ($455.35 million) with some of Australia's leading mining companies, including South32, Roy Hill, Pilbara Minerals, and Glencore, spanning multiple sectors.
Among the highlights is a five-year contract with South32, set to begin immediately. SRG will provide maintenance and civil services at South32's Worsley bauxite and alumina operations in Western Australia's southwest, focusing on enhancing bauxite residue disposal area embankments.
AL Circle's industry-focused report, "A Comprehensive Analysis of Bauxite Residue - Red Mud", stated that it is estimated that across the world, 177.3 million tonnes of red mud was generated in 2023 against an alumina production of 141.8 million tonnes. Only 2-5 per cent of the total red mud generated annually is being utilised as a saleable by-product since most of it is sent to the tailing dams. Worldwide, it is estimated that more than 4 billion tonnes of red mud had been accumulated in various legacy and active tailing dams.
Red mud generation by region (1974-2023)
The major alumina producers, including China, Australia, Brazil, and India, accounted for about 83-84 per cent of the total red mud generation in 2023.
Another notable agreement is a five-year contract with Glencore, already underway, to deliver asset integrity services at its Murrin Murrin operations in WA's Goldfields region. These contracts underscore SRG's pivotal role in supporting Australia's mining and infrastructure sectors.
HanRoy is undertaking an infrastructure contract for earthworks and civil construction at the Roy Hill mining operations in Western Australia. Meanwhile, SRG Global has secured a contract with Pilbara Minerals to construct a tailings dam at the Pilgangoora mining site in Western Australia. Both projects are set to commence this month, with completion targeted for mid-2025.
David Macgeorge, Managing Director of SRG, said, “We are pleased to continue to secure a diverse range of contract awards across Australia and New Zealand in a broad range of sectors with key repeat clients.”
“These contract awards further demonstrate our transformation to a truly diversified infrastructure services company.”
Macgeorge highlighted that SRG is experiencing a period of remarkable momentum, driving the company's continued growth and success. This progress is supported by a robust growth trajectory and an 80 per cent recurring earnings base, aligning seamlessly with SRG Global's long-term strategic vision.
Image Credit: SRG Global
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