10 October 2007

Dyno Nobel wins BUMA contract in Indonesia

PT dnx Indonesia and dnx Australia Pty Ltd. (dnx), wholly owned subsidiaries of Dyno Nobel Limited, recently signed a five-year contract valued at $US60 million with mining contractor PT Bukit Makmur Mandiri Utama (BUMA) to provide full explosives supply and services to BUMA’s Berau Lati operation, an open cut coal mine situated in East Kalimantan, Indonesia.

PT Berau, owner of the Berau Lati mine concession, is one of the largest coal producers in Indonesia. The company plans to increase coal production up to 20 million tonnes per annum over the next three years. BUMA is the second largest mining contract in Indonesia with 13 operations across the archipelago.

Dyno Nobel’s  Asia Pacific President, Mr Tim Fry said, “We are pleased to be working with BUMA.  This contract is, to date, the largest offshore contract in the Asia Pacific region for Dyno Nobel. Moreover, it has cemented dnx’s operations in Indonesia and positions us to access future opportunities in one of the fastest growing explosives markets in the Asia Pacific region.”

BUMA’s Drill and Blast Manager Mr Dedy Irawan, attributed dnx’s successful tender to the company’s products, services and safety record.

“dnx’s blasting experience, bulk emulsion technology and the Company’s focus on safety and excellent safety record were the major reasons we selected dnx to partner with us,” Mr Irawan said.

Earlier this year, dnx signed a four-year contract with UK based gold miner, PT. Avocet Bolaang Mongondow, which placed dnx into the rapidly developing gold belt in Eastern Indonesia.