Aquirian Targets $60M Revenue with Wubin Expansion and Tech Innovation

Strategic Growth Anchored in Innovation

Aquirian Limited has laid out a compelling growth narrative that leverages its integrated drill and blast solutions alongside proprietary technology to capture expanding opportunities in the mining sector. Central to this strategy is the Wubin Energetics hub, Western Australia's largest independent energetics storage and manufacturing facility, which is poised for significant expansion to meet increasing demand from deeper and wetter mines.

The company’s Collar Keeper® System stands out as a key innovation, designed to improve blast hole quality and operational outcomes in challenging wet conditions. This technology not only reduces cycle times and re-drills but also enhances safety and efficiency, positioning Aquirian as a leader in drill and blast technology development.

Financial Performance and Forward Targets

Reviewing recent financials, Aquirian reported total revenues of $26.3 million in FY23, dipping slightly to $23.2 million in FY24, with a rebound to $13.3 million in the first half of FY25. EBITDA followed a similar pattern, reflecting the company’s transitional phase as it ramps up operations. The Wubin plant restart, scheduled for July 2024, underpins ambitious targets of $40 to $60 million in revenue and EBITDA margins between 12% and 16% by the third year of operation.

These projections depend on achieving a 30-40% plant loading by years three to four, supported by a blend of toll manufacturing, full mine site services, and product supply offerings. The company is also investing in raw material storage and emulsion plant expansions to increase production capacity and operational efficiency, aiming to reduce costs and accelerate earnings growth.

Market Position and Competitive Advantages

Aquirian’s strategic location on the Northern Freight Corridor near key mining hubs offers logistical advantages, avoiding major population centers and facilitating efficient distribution. The Wubin facility’s licensed capacity of up to 110,000 tonnes per annum of emulsion, with potential expansion to 160,000 tonnes, positions it to capitalize on growing market demand driven by increasing mining activity in Western Australia’s Mid-West and Goldfields regions.

The company’s integrated service model spans the entire blast-hole lifecycle, from drilling technology and energetics supply to training and compliance, providing flexible options from do-it-yourself to full-service contracts. This end-to-end approach, combined with proprietary technology and a strong customer base including Tier 1 mining companies, underpins Aquirian’s competitive edge.

Experienced Leadership Driving Execution

Aquirian’s board and management team bring decades of mining and drill and blast expertise, with backgrounds at major players like BHP, Rio Tinto, Orica, and Hanwha. This depth of experience supports strategic execution and operational excellence, with significant insider ownership aligning management incentives with shareholder interests.

As the company advances its growth agenda, investors will be watching closely how effectively Aquirian scales its operations, executes contracts such as the Mt Ida Gold deal, and leverages its technological innovations to sustain competitive advantage in a dynamic market.