Develop Secures A$274m Core Lithium Underground Contract Starting July 2026

Major Contract Win at Finniss Lithium Project

Develop Global (ASX:DVP) has secured a hefty A$274 million underground development and production contract at Core Lithium’s Finniss Lithium Project in the Northern Territory. The contract, centred on the BP33 deposit, is set to commence underground mining in July 2026 following mobilisation in June. This deal carries a minimum three-year term with an option to extend for another two years, underpinning an expected steady-state annual revenue of around A$120 million.

The BP33 deposit is a cornerstone of Core Lithium’s operation, boasting over a decade of mine life with promising exploration potential. Develop’s scope includes establishing surface infrastructure and portals, alongside the underground mining activities themselves. Core Lithium’s Managing Director Paul Brown highlighted that the award reflects Develop’s strong technical capability and alignment with Core’s productivity goals.

Strategic Shift from Bellevue to Lithium Focus

This contract represents a strategic pivot for Develop, which will complete its underground mining contract at Bellevue Gold’s mine in Western Australia by 31 July 2026. The demobilisation at Bellevue will free up roughly A$50 million in capital, earmarked for redeployment across Develop’s operations, including tendered projects. Notably, personnel from Bellevue, described as some of Australia’s most skilled underground miners, will be retained and redeployed to the Finniss project and other contracts, addressing the tight labour market.

Develop Managing Director Bill Beament emphasised the importance of balancing client value and shareholder returns in a buoyant contracting market. He noted that the Core Lithium contract suits Develop’s strengths, enabling the company to leverage its experienced underground mining team effectively. This transition also coincides with work ramping up at OceanaGold’s Waihi North Project in New Zealand under a recently awarded five-year contract, further diversifying Develop’s mining services footprint.

Complementary Growth in Lithium and Base Metals Projects

Alongside its mining services contracts, Develop is advancing its own resource projects. The company is progressing a direct shipping ore lithium operation at its Pioneer Dome project in Western Australia, with a technical and economic study due in the June quarter. Meanwhile, the Sulphur Springs copper-silver-zinc project in the Pilbara is moving forward with exploration and production decline development, targeting a Final Investment Decision this quarter.

These developments underscore Develop’s dual focus on mining services and resource ownership, positioning it to capitalise on the surging lithium market and base metals demand. The redeployment of assets and personnel from Bellevue to Core Lithium and internal projects marks a significant reallocation of resources aimed at maximising returns and operational efficiency.

Develop’s recent operational progress includes reaching steady-state production at its Woodlawn copper mine, which has exceeded nameplate capacity and delivered strong quarterly gains. This operational momentum, combined with the new Core Lithium contract and ongoing project development, signals a robust growth phase for the company’s mining services and resource divisions. steady-state production at Woodlawn and A$200m Waihi North contract illustrate Develop’s expanding footprint in underground mining services.