Mastermyne Locks in $80M Tahmoor Mine Contract With $240M Upside if Extended
Key Takeaways
- Mastermyne has executed a Tahmoor mining services contract with GMT Mining Pty Ltd worth approximately $80 million over an initial 2-year term.
- The $240 million headline is not secured, as it only applies if the client exercises both 2-year extension options across a full 6-year term.
- About 160 new roles at Tahmoor push the Illawarra workforce from well over 500 to an expected 1,000+ after mobilisation.
- Mastermyne now holds contracts across all three GM3-operated mines: Appin (from May 2025), Dendrobium (commenced last month) and Tahmoor.
- The announcement discloses no contract start date, no restart date for Tahmoor and no margin data, leaving earnings impact unquantified.
Mastermyne secures Tahmoor mining services contract worth up to $240M
Mastermyne Group Limited (ASX: MYE) has executed a new mining services contract with GMT Mining Pty Ltd for the restart and ongoing operation of Tahmoor Mine in the Illawarra region of NSW. The initial 2-year term carries gross revenues of approximately $80 million and involves approximately 160 roles.
The Tahmoor mining services contract builds on Mastermyne’s existing portfolio of long-term contracts. A multi-year agreement with extension options gives you a clearer view of future revenue, though the larger figure depends on the client’s decisions.
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Contract terms and what they could be worth
The headline $240 million figure is not secured revenue. It only applies if the client exercises both extension options.
Key contract figures
| Term | Gross revenue | Status |
|---|---|---|
| Initial 2-year term | Approximately $80M | Contract executed |
| Two x 2-year extension options (full 6-year term) | Approximately $240M | If exercised by the client |
The extensions are options, not commitments. Until the client exercises them, the secured portion is the initial 2-year term.
Workforce growth
The contract adds to a growing Illawarra footprint, according to the announcement:
- Approximately 160 new roles at Tahmoor
- Illawarra workforce now well over 500 roles across Appin, Dendrobium and Tahmoor
- Total workforce expected to exceed 1,000 post mobilisation
The Appin contract commenced in May 2025, and the Dendrobium contract commenced last month.
Understanding mining services contracts
A mining services contractor supplies skilled labour and underground capability to a mine operator under a contract. The operator owns the mine, and the contractor is paid to deliver the work.
Term length and extension options matter because they shape how far ahead revenue can be seen, and extensions can indicate client confidence.
Who is behind Tahmoor and why the relationship matters
Tahmoor Mine was acquired by a consortium comprising M Group (Mastermyne’s largest shareholder) and Golden Energy and Resources (GEAR), with the mine to be operated by GM3. It is a metallurgical coal mine located proximate to GM3’s Appin and Dendrobium mines.
The contract itself is with GMT Mining Pty Ltd. Mastermyne now holds contracts across three GM3-operated mine projects: Appin, Dendrobium and Tahmoor.
Jeff Whiteman, Managing Director & CEO
“We are excited by this opportunity to further build on our existing partnership with GM3… It is also pleasing to see Tahmoor mine progressing towards the restart of operations, which will bring significant benefits for the local community and workers.”
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What comes next
Mastermyne’s next step is mobilising the approximately 160 roles as Tahmoor progresses towards the proposed restart of operations. The announcement does not disclose a contract start date, a restart date or any margin data.
Mastermyne was founded in 1996 and trades under two brands, Mastermyne and Wilson Mining, with coverage across all three major coal basins of New South Wales and Queensland.
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