Acrow's (ASX:ACF) MI Scaffold subsidiary secured a three-year contract renewal with BHP Mitsubishi Alliance (BMA), with a one-year extension option, according to a Monday filing with the Australian bourse.
The agreement guarantees AU$15 million per year, totaling at least AU$60 million, with the potential to increase by AU$4 million annually, the filing said.
The contract covers BMA's Bowen Basin coal mines and Hay Point Coal Terminal in Queensland, providing equipment and labor for maintenance and shutdown access, the filing added.
Implementation will start as existing agreements expire, with no major conditions affecting commencement, the company said.
The deal is expected to account for at least 35% of MI Scaffold's branch revenue over the next four years, the company added.
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