Major Drilling Buys Bunbury for Mine Dewatering Push

Major Drilling Group International has moved decisively into mine dewatering, acquiring Western Australia specialist Bunbury Drilling Company (BDC) in a deal worth up to A$70 million. The transaction, completed through Major Drilling's Australian subsidiary, consists of an A$50 million upfront cash payment plus an earn-out of up to A$20 million. To unlock the full earn-out, BDC must deliver average annual EBITDA of roughly A$18 million across a three-year measurement period. Major Drilling is funding the purchase from existing cash and debt facilities, and the deal required no regulatory approvals.

BDC brings more than 70 years of family ownership and a fleet of eight purpose-built, high-end drills: four Schramm Fury 130 rigs, three Versadrill V-2095 EXP units and one Massenza MI12. The company, based in Bunbury, currently drills exclusively for senior mining producers across Western Australia, and its rigs, support vehicles, mud systems and auxiliary equipment are configured for dewatering well construction in demanding conditions. BDC's management team will remain in place, and Principal Jason Linaker described the sale as honouring a three-generation family legacy while opening a path for future growth in Australia and internationally. Major Drilling President and CEO Denis Larocque said the acquisition adds a highly specialised service line to an established market, diversifies revenue and deepens existing relationships with major mining companies.

For equipment buyers, the deal is a useful signal about where the dewatering market is heading. Mine dewatering has become a genuine technical discipline rather than a commodity drilling service: water control now sits on the critical path of pit development, tailings management and ultimately mine closure, and operators are paying for contractors that can combine hydrogeological expertise with reliable fleets. When evaluating dewatering drilling partners, procurement teams should look closely at the same attributes that made BDC attractive: purpose-built rigs rather than adapted units, documented maintenance practices, mud-system and auxiliary-equipment capability, and crews experienced in well completion to specification. The earn-out structure also matters. Tying A$20 million of consideration to sustained EBITDA suggests Major Drilling expects multi-year demand from senior producers, which typically translates into fleet reinvestment and longer-term contract availability. For buyers of dewatering pumps, borehead equipment and well screens, consolidation can cut both ways: a larger group may offer more capacity and faster mobilisation, but it can also reduce the pool of independent contractors, so locking in framework agreements and confirming lead times for critical spares early in 2027 planning cycles is a prudent move.