The $18.8 million order is for the delivery of eight AMT directional drilling and methane gas drainage systems.
Established in 1950, Yangquan is based in Shanxi Province and employs more than 128,000 people spanning the coal, aluminium, electricity, construction and manufacturing industries, with current coal production of 45 million tonnes.
“Industrea has benefited from its strong relationships and excellent reputation for delivery in China to secure this agreement with Yangquan, picking up the $10 million per month pace of new product orders secured since the start of the 2009-10 financial year,” Industrea managing director Robin Levison said.
“This is the largest single sale ever secured by AMT and Wadam in China, and we anticipate there are more to come as the nation’s coal miners venture further underground into its gassy coal mines, making our best-of-breed systems indispensable.”
The company has also recently sold an AMT drill guidance system to a Japanese customer for a non-mining civil application, and this may create opportunities for a new sales channel.
Through its Russian agent, Industrea has secured the sale of a second AMT directional drilling and methane gas drainage system into the equally large and gas-prone Russian market, with further sale opportunities anticipated.
Industrea was trading up 10.14% mid-morning today at 38c.