Heavy equipment rental specialist Emeco has secured a five-year agreement with Chilean mining contractor Fe Grande, estimated to generate between AU$27 million and $32 million annually (between U.S. $25.1 and $29.8 million).

In February 2012, Emeco announced its intention to establish a mining equipment rental business in Chile beginning in July 2012 The decision to enter Chile was backed by Emeco’s assessment of the strong fundamentals of the Chilean copper industry.

“We have been successful in establishing a strong foothold for our Chilean business, deploying over AU$100 million of fleet and averaging 80-percent utilization,”  

the company said. “Demonstrating one of the key strengths of Emeco’s geographic diversification, around 40 percent of this fleet has been relocated from other Emeco business units as we continue to deploy our assets to match market demand.”

Emeco, based in Perth, Australia, is also active in Indonesia, Australia and Canada’s oil sands region.