Major Drilling Group International Inc, through its Australian subsidiary, Major Drilling Pty Ltd, has
acquired all of the issued and outstanding shares of Bunbury Drilling Company (BDC), a leading specialised mine dewatering drilling contractor based in Bunbury, Western Australia, for an upfront cash payment of A$50 million, with an additional A$20 million available through an earn-out, for total consideration of up to A$70 million.
In order to achieve the full earn-out amount, BDC is required to reach average annual EBITDA of approximately A$18 million over the three-year earn-out period. The purchase price will be funded by Major Drilling’s existing cash position and debt facilities. The acquisition does not require regulatory approvals.
For Major Drilling, it deepens relationships with senior mining companies as BDC currently drills exclusively for senior producers in Western Australia. It also strongly aligns with the Major Drilling focus on specialised drilling while adding a new service offering as mine dewatering represents a unique market segment given its technical complexity, equipment requirements, and need for highly skilled crews. BDC’s eight high-end, well-maintained specialised drills are purpose-built for this work.
The fleet consists of four Schramm Fury 130; three Versadrill V-2095 EXP and one Massenza MI12. BDC says it has one of the most advanced drilling fleets in the industry. “Our rigs, support vehicles, mud systems and auxiliary equipment are built to deliver efficiency, reliability and safety across the toughest drilling conditions. Designed for precision and performance, our equipment ensures projects are completed on time and to specification.”
“We are very excited to welcome BDC and its employees into the Major Drilling group,” said Denis Larocque, President & CEO of Major Drilling. “This acquisition is directly aligned with our strategic plan, allowing us to offer a new line of highly specialised drilling services to senior companies in an established market, diversifying our revenue streams and expanding on existing relationships.”
He added: “BDC has a strong reputation in Australia, particularly among major mining companies, which has been built on decades of delivering innovation and high-quality services to its clients. BDC’s management team will remain in place to continue building on these strong relationships, while our existing local team is well positioned to support a smooth integration. BDC and Major Drilling share similar cultural and operational values, with a commitment to safety, strong maintenance practices, and high operational standards.”
“After more than 70 years and three generations as a family business, we are proud to see BDC become part of Major Drilling,” said Jason Linaker, Principal of BDC. “For seven decades, we have built our reputation on trusted relationships, technical expertise, and a workforce who take genuine pride in their work. We are immensely proud of our team as their achievements are what attracted the attention of a global industry leader like Major Drilling, a company that shares our values and commitment to safety, quality, and people.”
He continued: “This transaction honours our family legacy while opening an exciting new chapter for BDC as we are confident it will enable future generations of our team to make the company proud for
another 70 years. By combining Major Drilling’s resources and global reach with BDC’s hydrogeological expertise and experienced crews, we are well positioned to pursue growth in Australia and around the world.”
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