Growth through diversity
THE resurgence in coal, base and precious metals prices is reaping rewards for diversified drilling contractor, Mitchell Services Limited.
The ASX-listed company, headquartered in Brisbane and with over 65 tier one drill rigs across Australia, is now conducting exploration, mine services and underground drilling for the world’s major miners and explorers.
“Mitchell Services is one of very few drilling contractors actively providing surface and underground drilling services to both the coal and mineral industries,” chief executive officer Andrew Elf said.
“We have committed to a diversified approach to manage the cycles of the mining and exploration industries.
After a tough few years, we are seeing welcome commodity price increases and expanding utilisation across the whole business.”
The strategy to diversify is based on decades of drilling experience and countless commodity cycles.
Starting in 1969, Mitchell Drilling grew to become Australia’s largest privately-owned drilling contractor.
After selling Mitchell Drilling in 2008, Mitchell Services entered Australia in 2013 following a reverse merger with ASX listed Drill Torque Limited.
“Just like our clients South32, BHP, and Anglo American, it makes sense to be exposed to various commodities, so we can better manage through the commodity cycles,” general manager Commercial Todd Wild said.
“Diversity also gives Mitchell Services the ability to service our clients across multiple mining operations and locations.”
In the last twelve months Mitchell Services has opened operations in Kalgoorlie as part of its growth strategy.
Mitchell Services will remain focused on its continued growth and high-level service delivery and look forward to a positive and rewarding year.