Capital Enters Australian Market & Raises Guidance
Capital Limited
06 October 2026
Capital Limited
(“Capital”, the “Group” or the “Company”)
Capital Enters Australian Drilling Market and Raises Revenue Guidance
Capital Limited (LSE: CAPD), a leading mining services company, is pleased to announce that it has completed the acquisition of 100% of the share capital of Metres Down Under Pty Ltd (“MDU”), a leading specialist underground drilling company headquartered in Kalgoorlie-Boulder, Western Australia.
Transaction highlights
•Establishes Capital’s operating presence in the Australian drilling market, one of the world’s premier mining jurisdictions.
•Adds an established business with a strong management and operational team, complementing Capital’s corporate presence in Perth, where several of Capital’s key management are located.
•Offers exposure to existing drilling contracts at major Australian mining operations, including Sunrise Dam and Tropicana, which are both operated by AngloGold Ashanti (“AngloGold”).
•Positions Capital as the world’s leading provider of specialist underground reverse circulation (“UG RC”) drilling services, with significant scope for deployment across both Capital’s existing international operations and the Australian market.
•Further strengthens Capital’s relationship with AngloGold, with Capital now operating across five of its mine sites.
•Utilises Capital's strong balance sheet, with total consideration of up to ~US$16 million (~A$22 million), comprising an upfront payment of ~US$11 million (~A$15 million) and a milestone-based earn-out of up to ~US$5 million (~A$7 million).
•For the twelve-month period ending 30 September 2026, MDU generated revenue of approximately US$25 million and Adjusted EBITDA of approximately US$6 million.
Metres Down Under
Based in Kalgoorlie-Boulder, Western Australia, MDU is Australia’s largest specialist UG RC drilling company and one of the largest businesses of its kind globally. Established in 1997, MDU pioneered and developed UG RC drilling and has built an excellent reputation for technical expertise, innovation and operational delivery.
MDU brings nearly 30 years of specialist underground RC experience, operated by a strong management and operational team with a track record spanning more than three million drilled metres and a total fleet of 11 rigs.
Complementary capabilities
MDU’s capabilities are highly complementary to Capital’s existing drilling services. Its versatile fleet can support a range of underground drilling applications, while its remotely operated drilling technology improves equipment utilisation and productivity and reduces personnel exposure to underground hazards.
The combination of MDU’s specialist underground knowledge and established Australian operations with Capital’s balance sheet strength, customer relationships and international footprint creates a strong foundation for future growth. The two businesses also share an entrepreneurial and safety-led culture, supporting a collaborative approach to integration and long-term growth.
Integration and growth
MDU will continue to operate as a distinct business within the Capital Group. The initial priorities will be maintaining safe, reliable and uninterrupted service for customers, successfully integrating the experience and strengths of both businesses and developing a targeted growth strategy. Capital will also assess opportunities to expand MDU’s capabilities in Australia and across the Group’s international markets in the longer term.
Group Revenue guidance
Group revenue guidance for 2026 is raised to US$435 - US$455 million, up from US$430 - US$450 million previously guided at our H1 2026 Results and up from US$410 - US$440 million as initially guided at our FY 2025 results. The increase reflects the consolidation of MDU’s revenue into the Group from 30 September 2026.
MSALABS revenue guidance is reiterated at US$85 - US$95 million. Capex guidance is reiterated at US$55 - US$65 million.
Further update
Capital will host a Q3 2026 Trading Update presentation via Investor Meet Company during mid-October to provide further updates on the transaction.
Commenting on the acquisition, Jamie Boyton, Capital’s Executive Chair, said:
“Through MDU, we are entering a new market with a business that has genuine technical leadership, an excellent team and a strong reputation. The acquisition builds on Capital’s existing corporate presence in Perth, where several of our key management team are based.
MDU’s specialist underground and remotely operated drilling capabilities strongly complement Capital’s existing drilling services and, together, we have an exciting opportunity to grow MDU’s established presence in Australia and introduce its specialised capabilities to Capital’s global customer base.
With MDU’s contracted revenues contributing to the Group in Q4, we are pleased to announce an increase in our 2026 Group revenue guidance to US$435 - US$455 million (from US$430 - US$450 million).
We look forward to welcoming the MDU team to Capital and building on the strengths of both businesses.”
Brian Eaton, MDU’s Founder and Director, said:
“MDU has been built on the expertise and commitment of our people, strong customer relationships and a continuous focus on safe and innovative underground drilling. Joining Capital gives us the support and international platform to build on these strengths while continuing to deliver the specialist service our customers value. We look forward to working together to grow the business in Australia and internationally.”
- ENDS –
For further information, please visit Capital’s website www.capdrill.com or contact:
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Capital Limited |
investor@capdrill.com |
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Jamie Boyton, Executive Chair |
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Rick Robson, Chief Financial Officer |
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Conor Rowley, GM Commercial & Corporate Development |
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Ryan Tennis, Corporate Development & Investor Relations |
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Tamesis Partners LLP |
+44 20 3882 2868 |
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Charlie Bendon |
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Richard Greenfield |
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Stifel Nicolaus Europe Limited |
+44 20 7710 7600 |
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Ashton Clanfield |
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Varun Talwar |
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Panmure Liberum Limited |
+44 20 3100 2000 |
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Scott Mathieson |
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John More |
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FTI Consulting |
+44 20 3727 1000 |
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Ben Brewerton |
capitallimited@fticonsulting.com |
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Nick Hennis |
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About Capital Limited
Capital Limited is a leading mining services company that provides a complete range of drilling, mining, maintenance and geochemical laboratory solutions to customers within the global minerals industry. The Company's services include exploration, delineation and production drilling; load and haul services; maintenance; and geochemical analysis. The Group's corporate headquarters are in the United Kingdom and it has established operations in Armenia, Australia, Canada, Côte d'Ivoire, Democratic Republic of Congo, Egypt, Gabon, Guinea, Guyana, Kenya, Mauritania, Namibia, Pakistan, Saudi Arabia, Tanzania, United Kingdom, United States of America and Zambia.
Mallesons acted as legal advisor to Capital Limited in connection with the transaction.
About Metres Down Under
Metres Down Under Pty Ltd is a specialist underground drilling company based in Kalgoorlie-Boulder, Western Australia. Established in 1997, MDU pioneered and developed underground RC drilling and is Australia’s largest specialist UG RC drilling company.
MDU provides underground RC drilling for grade control and exploration; ITH and production drilling; V30 raise drilling; service-hole and longhole rise drilling; ventilation shafts, escape ways and slot raises; and remotely operated underground drilling. The company has completed more than three million drilled metres and operates a fleet of 11 rigs across Australia.
BDO Australia acted as financial advisor and Lark Lawyers acted as legal advisor to Metres Down Under.
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