PROPERTY and hospitality-centric Meta Bright Group Bhd (formerly Eastland Equity Bhd) has today (April 24) sealed a new leasing contract with Mt Cuthbert Resources Pty Ltd which marks another significant step in the group’s strategic expansion in the equipment leasing market.

A filing with Bursa Malaysia shows that under the contract, Meta Bright’s wholly owned subsidiary Meta Bright Australia Pty Ltd will provide dry hire equipment rental services to Mt Cuthbert while supporting the latter’s Australian copper mining operations with essential machinery and equipment valued at up to A$8 mil (about RM24.82 mil).

The equipment list includes machinery, vehicles and other mining equipment necessary for Mt Cuthbert to tap Australia’s promising copper mining outlook.

The contract is expected to generate substantial monthly recurring rental income estimated at A$222,950 (about RM691,658) which shall enhance Meta Bright’s recurring revenue streams and reinforcing its presence in the Australian market.

“This contract strengthens our relationship with Mt Cuthbert while underscoring our capability and commitment to support the mining industry with high-quality and reliable equipment,” commented Meta Bright’s executive director (corporate and strategic planning) Derek Phang Kiew Lim.

“Our strategic decision to diversify into machinery and equipment leasing has allowed us to tap into the robust growth of the mining sector in Australia which continues to show significant potential.”

The mining industry in Australia is a critical economic sector with growth driven by increasing domestic and international demand for minerals. The industry’s income from mineral exploration is projected to grow to A$5.7 bil by 2025 at a compound annual growth rate (CAGR) of 11.3% from 2023.

The equipment leasing market in Australia is similarly promising, expected to grow to A$1.9 bil by 2025. This growth is supported by the expansion of end-user industries such as mining, construction and manufacturing which rely heavily on leased equipment to reduce capital expenditure and enhance operational efficiency.

“Our strategic focus on the equipment leasing sector is paying dividends as it enables us to leverage growth opportunities within Australia’s dynamic industrial landscape,” projected Phang.

“We are confident that this new contract with Mt Cuthbert will contribute positively to our financial performance starting from our 2Q FY6/2025,” added Phang.

At the close of today’s trading, Meta Bright was up 0.5 sen or 3.23% to 16 sen with 2.9 million shares traded, thus valuing the company at RM401 mil. – April 24, 2024

The post Meta Bright inks RM24m leasing contract with Australia mining company first appeared on Focus Malaysia.