The importance of this contract in my opinion is with the quality counterparty and project of significance. Once a drone is contracted is more often than not leads to multiple drones + additional services being requested.
ZiJin + Ivanhoe operate many assets globally and to get a foot in the door with them on this project is a solid win for the company.
If history is anything to go by for RKT, I would think that during the term of the contract the customer requests (and pays for) additional services / features and then will look to re-new the contract for a multi year term that will result in a more substantial amount of revenue being generated for the group.
One only has to look at the Anglo contract that was initially signed for a two year deal worth $275k per year. At the end of the term it was renewed with Anglo for an additional 2 years for $1.35mil per year. Hear Chris talk about this contract in further detail he explained it was a mixture of additional services that Anglo had paid for during the original term being formalised into the new contract + stronger pricing being achieved for the group.
US$62k = ~A$100k
Keep the wins coming lads!
Ann: RKT Exports First xBot to International Mining Customer, page-7
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