Mining software provider K2fly will supply Eramet SA with its resource disclosure solution after the French-owned miner signed a three-year deal worth $564,000 to cover its five operations and four commodities.
Management says the partnership will provide an annual recurring revenue of $152,000 and it is hopeful the relationship will lead to future opportunities.
K2fly’s resource disclosure solution is part of the company’s ground-breaking resource governance platform and will be used to fulfil Eramet’s reporting and disclosure obligations required as a publicly-listed company.
K2fly chief executive officer Nic Pollock said: “We are delighted to sign our first contract with Eramet for our Resource Disclosure solution. From our early interactions it was very clear that K2fly and Eramet share deep values associated with ESG and mining. Eramet are our fourth French global resources customer in what is a growing prospective region for K2fly. K2F is hopeful that the successful implementation of Resource Disclosure and the developing relationship with Eramet will lead to future opportunities for additional software sales.”
The Euronext-listed Eramet’s stable includes a manganese operation in Gabon, nickel ventures in Indonesia and New Caledonia, a lithium play in Argentina and a mineral sands business in Senegal.
K2fly is rapidly carving out a reputation as a leading provider of resource governance solutions for “net positive impact” in environmental, social and governance (ESG) compliance, disclosure and technical assurance. The provider’s software as a service (SaaS) suite covers areas including land access, ground disturbance, tailings and heritage management and mine rehabilitation.
In April, K2fly unveiled revenue of $3.4 million for the third quarter of the financial year – a 19 per cent rise on its income from the previous quarter. Management says the figure was a 35 per cent jump on the corresponding period last year and put the result down to freshly-inked contracts and “go-live” milestone projects with major companies, BHP and Rio Tinto.
The company’s success appears to stem from hitching its wagon to attention afforded to it by the global investment market and the wider society on ethical corporate practice and responsiveness to environmental and social issues.
Globally, more than $44 trillion in capital has been committed to environmental, social and corporate governance-related investments as the world looks to curb greenhouse gas emissions and companies face pressure on issues such as workplace diversity and social justice.
And with K2fly offering an increasingly-respected solution of how to track and record a company’s compliance, its stable of client looks likely to only get bigger.
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By Steve Kaless
