Mermaid Marine Australia Ltd (MMA) (ASX:MRM) has won a contract to provide supply base services to Chevron Australiain in support of the energy giant's exploration and production drilling activities off the North West Shelf and ongoing production facilities on Thevenard Island.

The contract will commence in January 2011 for an initial 3.5 year term plus options to extend.

MMA will provide general supply base services, stevedoring and related wharf services and the provision of dedicated personnel, equipment and offshore containers. The contract also includes the provision of laydown areas, office space and warehouse space.

"MMA's Dampier supplyb is strategically located to service exploration, production and construction activities in the North West Shelf and is the subject of an ongoing program of expansion and redevelopment," the company said.

"Recent infrastructure development has seen the construction of a 2250m2 warehouse and a $25 million extension to MMA's private wharf facility. MMA will invest approximately $5 million to upgrade the facilities and infrastructure to support this contract."