Mastermyne has secured a two-year mining services contract tied to the proposed restart of Tahmoor mine in NSW, with gross revenue of approximately $80 million. Two further extension options could lift the total to approximately $240 million over six years and take its workforce beyond 1,000.
- Approximately $80 million in gross revenue over the initial two-year term
- Two two-year extensions could lift total contract revenue to $240 million
- More than 160 roles linked to Tahmoor mobilisation and operations
- Workforce expected to exceed 1,000 after mobilisation
- Contract expands Mastermyne’s relationship with GM3 in the Illawarra
Tahmoor Contract Adds Up to $240 Million in Revenue
Mastermyne Group Limited (ASX:MYE) has added another substantial Illawarra contract to its order book, signing a mining services deal connected to the proposed restart and ongoing operation of Tahmoor metallurgical coal mine. The initial two-year term is expected to generate approximately $80 million in gross revenue, while two two-year extension options could take the total to approximately $240 million over six years.
That headline figure is conditional. The extensions are options for the client, not committed revenue, and the announcement provides no detail on contract margins or the timing and scope of the Tahmoor restart. The more certain piece is the initial term with GMT Mining, which is expected to create more than 160 roles.
GM3 Relationship Expands Across Three Illawarra Mines
Tahmoor was acquired by a consortium comprising M Group, Mastermyne’s largest shareholder, and Golden Energy and Resources, with the mine to be operated by GM3. GM3 also operates the nearby Appin and Dendrobium mines, giving Mastermyne a broader run of work across the same regional mining network.
The new award follows the company’s Dendrobium mining contract, which was reported as an initial $85 million two-year deal with potential value of $255 million over six years and more than 140 new roles. Mastermyne said its Appin contract began in May 2025, while the Dendrobium contract commenced last month.
Managing director and chief executive Jeff Whiteman said the Tahmoor opportunity would lift Mastermyne’s Illawarra workforce to well over 500 roles across Appin, Dendrobium and Tahmoor. He also said the proposed restart would bring benefits for local workers and the surrounding community (ASX:MYE).
Workforce Passes 1,000 After Mobilisation
Once Tahmoor mobilisation is complete, Mastermyne expects its total workforce to exceed 1,000 people. That expansion comes after a FY26 in which revenue rose 13% to $237.7 million, underlying profit before tax increased 148% to $15.7 million and the order book reached $432 million, according to the company’s recent results.
The next evidence will be operational rather than merely contractual: when Tahmoor mobilisation begins, how quickly the proposed restart progresses, and whether the work converts into the revenue and workforce growth outlined by Mastermyne. The longer-term value will depend on the client exercising the two extension options and on the profitability of the contract, neither of which is established by the award itself.
Bottom Line?
Tahmoor materially extends Mastermyne’s contracted work in the Illawarra, but the $240 million figure remains dependent on two client-held options and an unspecified restart timetable.
Questions in the middle?
- When will Tahmoor mobilisation and the proposed mine restart begin?
- What margins will Mastermyne earn on the initial $80 million contract?
- Will GMT Mining exercise either of the two four-year extension options?