- Vysarn’s (VYS) daughter company has received a $12 million notice of contract award from one of Australia’s biggest iron ore operators, Roy Hill
- Pentium Hydro will be appointed to undertake hydrogeological drilling across the operator’s mine sites in the Western Australian Pilbara Region
- The three year and five-month contract is set to commence January 2021 with potential for a one-year extension
- Specifically, the scope of work encompasses drilling and installation of boreholes to support Roy Hill mining and exploration activities
- The arrangement will further the subsidiary’s presence on the mine site pursuant to an existing 2019 drilling contract
- Shares have taken a hit following the announcement, trading 7.69 per cent lower at 12 cents each
Vysarn’s (VYS) daughter company has received a $12 million notice of contract award from one of Australia’s biggest iron ore operators, Roy Hill.
The company’s wholly-owned subsidiary Pentium Hydro, will be appointed to undertake hydrogeological drilling across the operator’s mine sites in the Western Australian Pilbara Region.
Specifically, the scope of work will see the subsidiary provide the drilling and installation of production, injection and monitoring boreholes to support Roy Hill mining and exploration activities.
The three-year and five-month contract is set to commence January 2021 with the option for a one-year extension by Roy Hill.
The $12 million revenue estimate is based on the schedule of rates and average metres drilled per month of one rig over the aforementioned contract period.
Pentium already has one dual rotary drill rig and associated equipment at Roy Hill pursuant to a drilling contract announced in November 2019.
Shares have taken a hit following the announcement, trading 7.69 per cent lower at 12 cents each at 10:57 am AEDT.