Perth, Western Australia – In a significant move set to bolster underground mining capabilities in Australia's prolific gold sector, Sandvik has announced a substantial order from Northern Star Resources for 25 units of advanced underground mining equipment. This strategic acquisition, destined for Northern Star's extensive operations in Western Australia, represents a robust investment in modern, high-performance machinery designed to optimize production, enhance safety, and drive operational efficiencies across key gold assets.

The contract, officially booked in the third quarter of 2026, details a comprehensive delivery schedule commencing in June 2027 and extending into early 2028. This long-term commitment between two industry heavyweights underscores the critical role of sophisticated equipment in maintaining competitive advantage within the global mining landscape, particularly in a high-cost environment like Australia.

A Strategic Partnership for Western Australian Gold

The core of this substantial order from Northern Star Resources, one of the world’s leading gold producers, comprises a suite of specialized underground machinery from Sandvik's esteemed portfolio. Specifically, the agreement includes:

  • 14 Toro LH621i loaders: These large-capacity underground loaders are known for their efficiency, high payload capabilities, and advanced technological features.
  • 10 Toro TH663i trucks: Designed for demanding underground haulage, these trucks offer impressive hauling capacity, fuel efficiency, and robust performance in challenging environments.
  • 1 Sandvik DD422i development jumbo: A crucial piece of equipment for underground mine development, this intelligent jumbo is engineered for precision drilling and rapid tunnel excavation, essential for expanding and accessing new ore bodies.

This comprehensive package of 25 units demonstrates Northern Star's commitment to equipping its operations with a full spectrum of leading-edge technology, from development drilling to mucking and hauling. The machinery will be operated and maintained by Northern Star Mining Services (NSMS), an in-house division wholly owned by Northern Star Resources. This integrated approach allows Northern Star to maintain direct control over equipment performance and maintenance protocols, ensuring optimal uptime and operational consistency across its sites.

Northern Star Resources boasts a formidable portfolio of both open pit and underground gold mines. Its primary assets include significant operations in Kalgoorlie and Yandal in Western Australia, alongside the Pogo mine in Alaska, USA. The targeted deployment of these new Sandvik units in Western Australia is expected to primarily benefit the company's cornerstone underground operations within these highly prospective gold regions, reinforcing its position as a dominant force in Australian gold production.

Advanced Technology for Enhanced Underground Operations

The selection of the Toro LH621i loaders and Toro TH663i trucks, along with the Sandvik DD422i development jumbo, reflects a broader industry trend towards intelligent, connected, and automation-ready mining equipment. According to Sandvik, both the Toro TH663i trucks and Toro LH621i loaders are purpose-built for the rigorous demands of underground environments, incorporating several critical features:

  • Automation Readiness: This capability is paramount in modern underground mining, enabling operators to transition towards semi-autonomous or fully autonomous operations, which can significantly improve safety by removing personnel from high-risk areas and increase productivity through optimized cycle times.
  • Real-time Analytics: Integrated telemetry and data capture systems provide operators and maintenance teams with immediate insights into equipment performance, health, and operational metrics. This allows for proactive maintenance, optimized fleet management, and data-driven decision-making.
  • Advanced Connectivity: Enhanced communication capabilities facilitate seamless data transfer and remote monitoring, crucial for efficient fleet management and timely technical support in complex underground networks.
  • Focus on Maintainability: Design considerations that simplify routine maintenance and reduce service times are critical for maximizing equipment availability and reducing overall operating costs.

Sandvik states that these integrated capabilities are specifically aimed at delivering higher payloads, thereby increasing material movement per shift. Concurrently, the operational efficiencies and reduced downtime promised by these advanced features are expected to significantly lower operating costs per tonne. Furthermore, the emphasis on automation readiness and real-time monitoring directly contributes to improving site safety, a paramount concern across all modern mining operations.

Craig Johnston, Vice-President of Sandvik Mining sales area Australia and New Zealand, emphasized the importance of comprehensive support. "Keeping underground production moving depends on both equipment performance and the support behind it," Johnston stated. "Our local teams will continue working closely with Northern Star throughout equipment delivery, commissioning and ongoing lifecycle management." This commitment to ongoing partnership and support is a key differentiator in the highly competitive mining equipment sector, ensuring clients maximize their investment over the operational lifespan of the machinery.

Northern Star's Operational Excellence and Growth Strategy

For Northern Star Resources, this substantial equipment order is more than just an asset acquisition; it is an integral part of its long-term strategy for operational excellence and sustainable growth. By investing in a large fleet of modern, high-capacity underground equipment, Northern Star aims to:

  • Maintain and Grow Production: Ensuring a consistent supply of ore from its underground mines requires reliable and efficient equipment. The new jumbos, loaders, and trucks will enable Northern Star to sustain and potentially increase production rates.
  • Enhance Safety Standards: Modern equipment with advanced safety features, including automation readiness and improved ergonomics, directly contributes to a safer working environment for mining personnel.
  • Optimize Cost Structures: Higher payloads, reduced fuel consumption, and improved maintainability of the new Sandvik fleet are expected to lead to lower operating costs per tonne, enhancing Northern Star's profitability.
  • Future-Proof Operations: The "automation readiness" of the equipment provides Northern Star with the flexibility to implement varying degrees of automation as technologies evolve and operational needs dictate, positioning its Western Australian assets at the forefront of mining innovation.

The decision to utilize Northern Star Mining Services (NSMS) for operation and maintenance further highlights the company's strategic focus on control and expertise. NSMS, as a wholly-owned division, can tailor maintenance schedules, training programs, and operational procedures specifically to Northern Star's mine plans and equipment requirements, fostering a deep understanding of its assets and optimizing performance.

Sandvik's Global Footprint and Equipment Demand

This significant order from Northern Star Resources reinforces Sandvik's strong position as a leading global supplier of mining equipment and technological solutions. The demand for Sandvik's advanced underground machinery is evident not only in Australia but across other key mining jurisdictions worldwide.

Just months prior to the Northern Star deal, in August 2026, Sandvik secured another substantial contract worth approximately $29 million (Skr275 million) from Kamoa Copper. This order involved the delivery of 19 Toro trucks and loaders to the world-class Kamoa-Kakula Copper Complex in the Democratic Republic of Congo (DRC). The Kamoa-Kakula mine, managed through a joint venture partnership involving Ivanhoe Mines and Zijin Mining Group (each holding 39.6%), Crystal River Global (0.8%), and the Government of the DRC (20%), exemplifies the global demand for high-capacity, reliable equipment in large-scale, deep underground operations.

These two prominent contracts in late 2026 illustrate the sustained global appetite for high-quality mining machinery that can deliver productivity, safety, and cost efficiencies. The consistency in demand for Toro-branded loaders and trucks across different continents and commodity types (gold in Australia, copper in DRC) underscores the equipment's robust reputation and Sandvik's ability to cater to diverse and demanding operational environments.

The Broader Industry Implications

The Sandvik-Northern Star agreement offers several insights into the current trajectory of the global mining industry. Firstly, it highlights the continued investment in underground mining. As easily accessible surface deposits deplete, underground operations become increasingly vital, requiring specialized, robust, and technologically advanced equipment to extract resources safely and economically. Secondly, the emphasis on "automation readiness" and "real-time analytics" signifies the accelerating digital transformation within mining. Companies are increasingly leveraging data and intelligent systems to enhance decision-making, optimize processes, and improve overall operational intelligence.

Furthermore, the partnership approach, where equipment suppliers like Sandvik offer not just machinery but also ongoing lifecycle management and support, is becoming a standard expectation. This collaborative model ensures that mining companies can focus on their core competency of resource extraction, relying on their technology partners for equipment performance and maintenance expertise.

This investment also reflects the enduring strength of the gold market, which continues to drive significant capital expenditure in exploration, development, and operational upgrades, particularly in established mining jurisdictions like Western Australia.

Future Outlook and Continuing Collaboration

With deliveries slated to begin in June 2027 and continue into early 2028, the coming months will see the progressive integration of these 25 new Sandvik units into Northern Star's Western Australian operations. This will involve detailed planning for commissioning, operator training by Sandvik experts, and the seamless integration of the new fleet into existing mine plans.

The collaboration between Sandvik and Northern Star is expected to extend beyond mere equipment delivery. As highlighted by Craig Johnston, Sandvik's local teams will provide ongoing support for lifecycle management, ensuring the long-term performance and productivity of these critical assets. This continued partnership is poised to contribute significantly to Northern Star Resources' strategic objectives in the coming years, further solidifying its position as a global leader in gold production through technologically advanced and efficiently managed underground operations.

The deal serves as a testament to the mining industry's resilience and its proactive embrace of innovation to meet future demand for essential minerals while continuously striving for safer, more productive, and environmentally responsible operations.