MLG Oz Locks in $48M Davyhurst Haulage Extension With Ora Banda Mining
Key Takeaways
- MLG Oz has secured a ~$48 million contract extension with Ora Banda Mining at the Davyhurst Gold Project, commencing 1 September 2026 across an initial three-year term.
- The agreement is expected to generate approximately $16.0 million in annual revenue, covering loading, haulage, ROM pad management, crusher feed, and haul road maintenance on a 24/7 operating basis.
- This is a client renewal, not a new win — Ora Banda's decision to extend signals satisfaction with MLG's service delivery and entrenches the relationship against competitive displacement.
- A one-year extension option at Ora Banda's discretion could push the total contract duration to four years and the revenue value beyond $48 million.
- CEO Mark Hatfield flagged Ora Banda's "significant expansion plans" at Davyhurst, raising the prospect that MLG's contracted scope could grow beyond the current baseline over the contract term.
MLG secures ~$48m Davyhurst contract extension with Ora Banda Mining
MLG Oz Limited has extended its long-standing relationship with Ora Banda Mining Ltd at the Davyhurst Gold Project, with a new contract commencing 1 September 2026. The agreement carries an initial term of three years and is expected to generate approximately $16.0 million in annual revenue, placing the total contract value at approximately $48 million. Services will be delivered on a continuous 24-hour, seven-day basis across Ora Banda’s Davyhurst operations.
What MLG will deliver at Davyhurst
The contracted scope covers four integrated service streams across the mine site:
- Loading and haulage of ore from nominated mining areas to the Davyhurst ROM pad
- Weighing and recording of ore movements
- ROM pad and crusher feed loading
- Maintenance of surface haul roads, access roads, and associated dust suppression activities
The continuous operating requirement underscores the depth of MLG’s integration into Davyhurst’s day-to-day production cycle.
Mark Hatfield, Chief Executive Officer
“We are delighted to extend our relationship with Ora Banda for a further three years and continue supporting the growth of its Davyhurst operations. This extension reinforces the strength of our long-standing partnership and reflects MLG’s proven ability to deliver safe, reliable and integrated haulage and mine site services. Ora Banda has an exciting growth strategy and significant expansion plans ahead. We are pleased to continue partnering with the team and look forward to playing an important role in supporting the next phase of development and operational growth across the Davyhurst project.”
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Understanding mine site haulage services — and why contracts like this matter
In a gold mining operation, ore extracted from the pit doesn’t go straight to processing. It moves first to a ROM (run-of-mine) pad, a designated stockpile area where material is sorted and staged before being fed into the crusher. Haulage contractors like MLG manage that movement: loading trucks at the mining areas, transporting ore to the ROM pad, and then feeding material into the crusher in a controlled sequence that keeps the processing plant running at target throughput.
Mining companies outsource these services to specialists rather than self-performing because the equipment fleet, workforce, and logistics management required are substantial. Keeping that capability in-house ties up capital and management attention that operators typically prefer to direct toward the ore body itself. A contractor like MLG absorbs that operational complexity under a single contractual framework.
For both parties, long-term contracts provide a foundation for operational planning. Ora Banda knows its haulage capacity is secured for the contract term; MLG knows its fleet and crew deployment is underpinned by committed revenue. That mutual certainty is particularly valuable at a site like Davyhurst, where expansion activity is expected to increase throughput requirements over time.
What this contract means for MLG’s investment case
The contract structure is straightforward, but the investor-relevant details are worth laying out clearly.
| Detail | Figure |
|---|---|
| Contract commencement | 1 September 2026 |
| Initial term | Three years |
| Extension option | One year (at Ora Banda’s option) |
| Annual revenue expectation | ~$16.0 million |
| Total contract value | ~$48 million |
Three points stand out from an investment perspective:
- Revenue visibility: Approximately $16 million per annum is expected across the initial three-year term, with the one-year extension option available at Ora Banda’s discretion potentially extending that to four years in total.
- Client retention: This is an extension of an existing relationship, not a new customer win. A client choosing to renew signals satisfaction with service delivery and makes the relationship harder for competitors to displace.
- Growth leverage: CEO Hatfield noted Ora Banda’s “exciting growth strategy and significant expansion plans ahead.” If Davyhurst’s production footprint expands over the contract term, MLG’s scope of work could grow with it. The ~$48 million total is an estimate based on the current contracted position.
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About MLG Oz
MLG Oz Limited (ASX: MLG) is a Kalgoorlie-based integrated mining services and resource asset management company, founded by Executive Chair Murray Leahy. The company delivers services across Civil & Construction, Crushing & Screening, Bulk Haulage & Site Services, and Open Pit Mining & Construction Materials to clients operating across gold, iron ore, lithium, and other base metals in Western Australia and the Northern Territory.
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