Australia-wide lifting and project logistics business, Boom Logistics, will continue its 14-year partnership with BHP at Olympic Dam in South Australia, following a recent extension of its contract for at least another five years.
Boom Logistics is a diversified lifting and project logistics business operating across Australia. The company provides specialised equipment, engineering services and workforce solutions for complex industry projects. Its services support sectors including resources, infrastructure, renewable energy and broader industrial development.
The company’s business model is centred on delivering lifting and logistics services in technically demanding operating environments.
As one of the world’s most significant deposits of copper, gold, uranium, and nickel, Olympic Dam, one of Australia’s key mining operations, has been a cornerstone contract for Boom since 2012, and this extension reflects the strength of Boom’s operational delivery and the trust built between it and BHP over many years.
Boom Logistics said it remains committed to its strategy of building long-term embedded partnerships with customers, through delivering critical lifting and logistics services safely and reliably in complex operating environments.
As part of the contract extension, Boom has secured a renewal of its largest and longest-standing maintenance contract, with expected revenue of AUD 40 million per annum over the initial five-year period. The contract also provides a further two-year option at BHP’s discretion and supports continued utilisation across Boom’s labour and fleet resources.
This structure provides Boom with multi-year revenue visibility from an established customer relationship. The company also stated that the renewed contract is expected to support continued margin expansion and sustained utilisation across its labour force and equipment fleet.
Consistent with the existing contract and industry standards, BHP retains customary termination rights on reasonable notice.
Olympic Dam has been a major customer site for Boom Logistics for more than a decade.
Boom Logistics Managing Director and Chief Executive Officer, Lester Fernandez, said Olympic Dam has been a cornerstone contract for Boom since 2012. He also described it as the company’s largest and longest-standing maintenance contract.
For Boom, the extension reinforces its position as a continuing service provider at one of the world’s significant deposits of copper, gold, uranium and nickel. Olympic Dam is located in South Australia and remains a major mining operation for BHP.
Beyond the recurring revenue expected from the renewed contract, Boom also noted that there may be opportunities to explore further work during the contract term.
The company said planned major shutdowns and expansion events could create additional non-recurring revenue streams.
These opportunities are separate from the expected AUD 40 million per annum revenue under the renewed contract and would depend on future work requirements at the site.
This gives the contract a recurring earnings base while also leaving scope for supplementary project-related activity over time.
Boom said that, for a lifting and logistics business, utilisation levels are important because equipment and workforce deployment influence operating efficiency and earnings quality.
Fernandez said the contract extension reflects the performance of Boom’s people, the quality of its operational delivery and the level of trust developed between Boom and BHP over many years.
He added that the agreement strengthens Boom’s recurring earnings profile and supports its strategy of building embedded partnerships with tier-one customers.
According to management, the company aims to deliver critical lifting and logistics services safely and reliably in complex operating environments.
This reflects Boom’s focus on long-term customer relationships rather than one-off project work alone.
BHP is a tier-one customer, and Olympic Dam has been part of Boom’s contract base since 2012. The renewal extends this relationship and reinforces the company’s role in providing lifting and logistics services at a complex mining operation.
Long-term embedded contracts can help businesses such as Boom maintain operating continuity, improve planning visibility and support recurring earnings.
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