Dyno Nobel’s industry leading technology and security of supply wins long term Queensland contract

Dyno Nobel’s industry leading products and technology solutions has secured a long-term contract extension with BHP Mitsubishi Alliance (BMA) in the nationally important Bowen Basin region in central Queensland.

Effective from July this year, the five-year agreement means Dyno Nobel will supply its explosives products and services to BMA’s Goonyella, Saraji, Peak Downs and Caval Ridge mines. In addition, Dyno Nobel will continue to supply the Daunia mine which BMA divested to Whitehaven Coal earlier this month.

Ammonium nitrate and premium emulsion products will be locally manufactured at Dyno Nobel’s strategically located Moranbah plant in the Bowen Basin. The Moranbah plant has a secure and sustainable long-term future following the finalisation of a gas supply agreement until 2033, with the option to extend to 2041.

Dyno Nobel Asia Pacific President Greg Hayne said: “We’re proud to continue our long-standing partnership with BMA which began more than two decades ago and prior to BMA becoming a foundation customer of our Moranbah plant.

“Under this new agreement, we will provide BMA with our premium technology solutions and world-leading electronic detonator and emulsion offering. This includes our TITAN 9000 fume-mitigation product which provides for safer blasting and can be used in various ground conditions,” Mr Hayne said.

The agreement will also see Dyno Nobel meet an increased demand from BMA, Australia’s largest producer and supplier of seaborne metallurgical coal.

“We expect to supply around 20% more ammonium nitrate each year from July as part of the new agreement,” Mr Hayne said.

Mr Hayne said the agreement was underpinned by the Moranbah ammonium nitrate plant’s long term sustainable future and its team of highly skilled workers.

“Dyno Nobel’s Moranbah plant uses locally produced gas as a feedstock to produce explosives products that BMA and other valued customers need to extract vital minerals and resources for Australians and export markets.

“The long-term gas supply agreement we have secured with Queensland Pacific Metals (QPM) ensures that our team at Moranbah can safely provide our customers with domestically manufactured bulk explosives protected from volatile global ammonia pricing.

“The possible use of waste mine gas from our customers’ coal mining operations has the potential to further enhance the sustainability of our Moranbah plant and provide environmental benefits for our customers and the community.”

Additional information

Dyno Nobel’s Moranbah plant produces ammonium nitrate and emulsion products vital to Australia’s mining industry. In April 2024, Dyno Nobel officially opened a $20 million nitrous oxide abatement project at the Moranbah plant as part of its commitment to the region, its customers and decarbonisation. The plant has been part of the Moranbah community for more than 15 years, providing long-term, sustainable investment in the Moranbah community, including housing its workforce locally and supporting local organisations, initiatives, and events.