Geodrill awarded multi-rig long-term drilling contracts

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Geodrill awarded multi-rig long-term drilling contracts

Geodrill has won multi-rig long-term drilling contracts from Perseus Mining, tasking them to carry out exploration work at its projects in Ghana and Côte d’Ivoire.

The contracts with Perseus are to be completed by August 2023 using up to 15 drill rigs from the company’s existing fleet, generating revenue in excess of $45 million over the contract term. Geodrill currently has a rig fleet of 71 drill rigs operating in West Africa, Egypt and Peru.

“Geodrill continues to build meaningful relationships and revenue by expanding contracts with top-tier gold customers in our core geographic region. These contracts bring top-line growth, improving economies of scale and support our goal of delivering consistent earnings in 2022,” Dave Harper, CEO and President of Geodrill, said.

Market position

Perseus currently has three producing gold mines, one in Ghana and two in Côte d’Ivoire, including the recently commissioned Yaouré Gold Mine (pictured) which achieved commercial production in March 2021. It is on track to produce more than 500,000 oz/y of gold with three mines in operation, generating a cash margin of more than $400/oz from financial year 2022.

Perseus Mining is a multi-mine, multi-jurisdictional explorer, developer, and producer of gold with a solid track record of successfully operating in West Africa. Perseus currently has three producing gold mines, one in Ghana and two in Côte d’Ivoire, including the recently commissioned Yaouré Gold Mine which achieved commercial production in March 2021.

Geodrill has been successful in establishing a leading market position in Ghana, Burkina Faso, Cote d’Ivoire and Mali. The Company is also expanding its geographic presence into Egypt in North Africa, and Peru in South America. With the largest fleet of multi-purpose rigs, Geodrill provides a broad selection of diverse drilling services, including exploration, delineation, underground and grade control drilling, to meet the specific needs of its clients. The Company’s client mix is made up of senior mining, intermediate and junior exploration companies

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