MLG’s New 30-Month Contract to Generate $500K Monthly Revenue

MLG Expands Mining Services Portfolio

MLG Oz Limited (ASX, MLG) has announced a new 30-month contract with New Murchison Gold Limited (ASX, NMG) to provide crushing and screening services at the Crown Prince project, a high-grade gold deposit within the Garden Gully Project in Western Australia. Valued at up to $15 million, this agreement marks another milestone in MLG’s strategic expansion across the gold and iron ore sectors.

The contract, set to commence in August 2025, involves deploying a mobile crushing plant equipped with an automated sampling system. MLG will not only supply the equipment but also operate and maintain it throughout the contract term, generating approximately $500,000 in monthly revenue. This steady income stream is expected to bolster MLG’s financial outlook over the next two and a half years.

Strategic Importance of the Crown Prince Project

New Murchison Gold’s Crown Prince project is situated in the prolific Murchison Goldfield near Meekatharra, a region known for its rich mineral deposits. The project’s high-grade gold resources make it a key asset for New Murchison’s development plans, and MLG’s involvement underscores the company’s growing reputation as a trusted partner in mining services.

MLG’s Managing Director, Murray Leahy, highlighted the significance of the contract, noting it as a testament to the company’s expanding capabilities and market presence. This contract follows a series of recent wins, including MLG’s maiden agreement with mining giant Rio Tinto and ongoing services for Fortescue Limited, signaling a positive trajectory for the company’s growth.

Broader Implications for MLG and the Mining Sector

MLG’s integrated service model, which includes civil construction, bulk haulage, and material management, positions it well to capitalize on the increasing demand for mining support services in Western Australia and the Northern Territory. The company’s ability to offer end-to-end solutions, including build, own, and operate contracts, enhances its competitive edge in a sector where operational efficiency and reliability are paramount.

While the contract’s start date is still several months away, the announcement reinforces MLG’s strategic focus on long-term partnerships with resource developers. The potential for a six-month extension beyond the initial 30 months also offers flexibility and upside if New Murchison’s project development accelerates.