ASX-listed proprietary software provider K2fly has strengthened its partnership with resources giant Rio Tinto, signing a contract to apply its ground disturbance data management system across all of the miner’s Pilbara sites in Western Australia.
K2fly is a provider of software services around environmental, social and governance, or “ESG” compliance, disclosure and technical assurance, to a range of mining and asset intensive industries through platform-based cloud solutions.
The new five-year contract with Rio Tinto carries a total contract value of $3.44 million and annual recurring revenue of $620 million.
The software enables all aspects of ground disturbance activity to be managed and tracked, including applications, approvals, reporting and closure, and offers real-time updates to ensure all obligations are met.
K2fly says its product offerings cover nine “solution” areas and five of them are now used at Rio Tinto operations, including resource inventory and reconciliation; dams and tailings; community and heritage; and mine geology data management.
The Rio Tinto deal continues a strong run of contract work for the Perth-based company, including new clients, Alcoa and South African-based miner Sibanye-Stillwater. K2fly also recently confirmed a five-year extension of a deal with the world’s biggest gold miner, Newmont.
Recently appointed K2fly Chief Executive Officer, Nic Pollock said: “We are delighted to continue to expand our relationship with Rio Tinto into ground disturbance. Effective ground disturbance systems are the glue for operations that want to ensure technical assurance around land management, maintain licence to operate and ensure high ESG standards. We are pleased to be working closely with Rio Tinto across a number of key ESG solutions globally.”
K2fly has been through a period of strong growth and has its sights set on further expansion, with an aim to boosting annual recurring revenue from $8-10 million to $20 million over the next two to three years through a “land and expand” strategy of extending existing customer use of its software services.
Aside from Rio Tinto, the company boasts iron ore giants Fortescue Metals Group, Vale and Roy Hill as clients, whilst in the gold sector, along with Newmont, major miners such as Newcrest Mining and AngloGold Ashanti are included amongst its client base. K2fly is also targeting the energy, utility and agriculture markets for further growth and earlier this year raised $7.25 million in equity funding to drive its expansion.
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