North American Construction Group (TSX:NOA) has closed the acquisition of Iron Mine Contracting, totalled at an estimated C$125 million ($129.46 million), creating a diversified mining services company.
Iron Mine Contracting provides North American Construction with an established operating platform in Western Australia, including a diversified, blue-chip customer base and exposure to gold, iron ore and lithium.
North American Construction says the combination of Iron Mine and its existing MacKellar operations is expected to enhance scale and deepen local expertise while establishing a tier one platform in the overall Australian market.
Since the transaction was announced in December 2025, Iron Mine has progressed well in its growth plans with increasing scopes at key mine sites. Scopes began as expected late in Q1 2026 at a gold-copper mine in the Pilbara region of Western Australia.
Concurrent with closing the deal, North American Construction amended its senior secured credit facility with direct lending capacity of C$535 million by Canadian dollar and Australian dollar tranches.
The facility permits incurrence of C$500 million of secured equipment financing from third party providers resulting in total senior secured capacity of more than C$1 billion.
Cash funding for the upfront payment of C$41.5 million was provided by draws from the credit facility. Equipment financing of C$45 million was assumed at closing with remaining consideration, one-third of the total, being provided by earn out and deferred payment mechanisms payable to the sellers over four years.
Iron Mine Contracting is a diversified mining services contractor headquartered in Western Australia. The company offers a full suite of services, including contract mining and civil construction services to a blue-chip customer base.
North American Construction Group is a provider of heavy civil construction and mining services in Australia, Canada and the US.
Write to Aaliyah Rogan at Mining.com.au
Images: North American Construction Group
