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Established to provide mining and related services on Tijwarl country and beyond. We are contracted to operate the run of mine pad at Bellevue Gold.
Develop (ASX: DVP) is pleased to advise that it has signed a collaborative agreement with Tjiwarl Contracting Services (TCS) aimed at establishing a range of commercial joint ventures.
The Memorandum of Understanding provides for Develop to assist TCS to establish businesses which would provide contracting services to mine sites on Tjiwarl Determined land and in other areas.
Under the agreement, Develop will help TCS set up, fund and operate the businesses with a view to TCS assuming full ownership of them once it has established the required capability.
The collaboration will also give TCS greater access to Develop’s supply chain, contracts, volumes of business and capability development with the overall aim of delivering long-term benefits to the Tjiwarl Community.
Develop and TCS have already identified several contracting opportunities, including the run-of-mine pad management at Bellevue Gold’s (ASX: BGL) Bellevue gold project in WA. Develop is the underground mining contractor at Bellevue.
The agreement provides for Develop and TCS to work together to secure the joint venture contracts at Bellevue, including the ROM pad management and light vehicle servicing contract.
Other potential contracting opportunities for the joint venture include provision of regional freight services between Kalgoorlie and the Bellevue gold project to service the needs of Develop, provision of labour to Develop’s subsidiary Premium Mining Personnel Pty Ltd, provision of personal protection equipment and provision of worker transport.
Develop Managing Director Bill Beament said the collaboration agreement could help to improve Aboriginal lives significantly.
“The joint venture framework we have put in place with TCS has potential to generate vast economic benefits for the TCS community,” Mr Beament said.
“But more importantly, it is structured in a way which will provide members with life-long business skills, commercial relationships and ownership of a substantial asset base.
“This approach is aimed at helping to ensure that members have the skills, knowledge, experience and funding to self-determine their futures. That’s why the agreement allows for Develop’s interests in the joint venture to be transferred to TCS for no sale price at the appropriate time.”
Tjiwarl Representative Kado Muir said: “The partnership with Develop is based on age-old culture and skills with a new approach to business, combining the entrepreneurial expertise of Develop and the energy and spirit of Tjiwarl traditional owners.
“This business partnership between Develop and Tjiwarl Contracting Services represents a significant shift for mining and business opportunities on Tjiwarl Country in the Northern Goldfields away from transactional interactions towards genuine equity relationships in resources projects”.
WesTrac has agreed to support the collaboration venture by providing the latest loaders for use as part of any contract.
WesTrac Chief Executive Jarvas Croome said: “WesTrac will be supporting this venture with the latest Caterpillar diesel-electric loaders, to align with Bellevue, Develop, and Tjiwarl’s decarbonisation visions.
“Caterpillar diesel electric loaders are focussed on achieving a range of improvements in productivity, efficiency, and sustainability.
“Among the benefits, the diesel-electric combination offers greater than 31 per cent improvement in fuel efficiency, alongside reduced maintenance costs and greater productivity compared to earlier models”.