A Pilbara Aboriginal firm has lauded a long-term Fortescue Metals Group contract which it says will lead to training for Traditional Owners and one day help build a standalone mining services company.
PKKP Enterprises in June was awarded a six-year, $19m deal to supply dry hire equipment to Fortescue's Eliwana iron ore mine about 200km south of Karratha in WA's Pilbara region.
The contract is one of more than $4bn worth of deals struck under Fortescue's Billion Opportunities program since launching in 2011, $105m of which has flowed to the PKKP commercial arm.
PKKP Enterprises general manager Shaun Burgess said the longevity of the contract gave the firm and lenders confidence to grow.
"It allows us to have confidence start to build capability inside our organisation and allows us to plan the next six years going forward knowing that we have a set income," he said.
"We can now start to bring members into the business, we can start to skill them up into be able to drive in this particular type of equipment around.
"We will eventually get to the stage where we will be able to substitute our drivers into the equipment and wet hire it in rather than dry hire it."
Mr Burgess said Fortescue was working with PKKP to set up a training pathway to enable this to happen.
Fortescue communities, environment and government director Warren Fish said helping build sustainable Aboriginal businesses created employment and development opportunities for Aboriginal Australians.
"We are incredibly proud to partner with Aboriginal businesses through our industry leading Billion Opportunities program, providing businesses with the tools to build value and sustainability, and improve their competitiveness and capability," he said.
"Surpassing the award of $4 billion of contracts is a credit to our Aboriginal business partners and the Fortescue team, whose commitment has ensured the success of this initiative."
Mr Burgess said Fortescue's trust in PKKP Enterprises had allowed the firm to dream big.
"Fortescue was very quick to acknowledge the traditional owners and to want to get them involved in doing things around the site," he said
"We would like to eventually become a standalone mining services contractor to be able to do this, but that's, that's our long term plan... seven, 10, 13 years down the track.
"We wouldn't have been able to do without without (Fortescue's) assistance in this area because we would be buying a piece of equipment and running it for 12 months before people realize that we had the management behind it, the systems behind it and the expertise behind it."
PKKP is the commercial arm of the Puutu Kunti Kurruma and Pinikura Aboriginal Corporation, which holds native title over nearly 11,000sqm of sparsely populated land west of Karijini National Park.