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harmony gold: first quantum minerals: standard bank: ISSUE No.11

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Issue No.11

8 Q&A

World Bank Group

We talk to Tom Butler and Josef Skoldeberg about the issues facing the mining industry and how ethical, sustainable mining can be the key to alleviating poverty in developing countries.

16

8

metals: 16 Harmony Gold

A harmonious approach to mining How the company is weathering the rapidly evolving mining environment in South Africa.

28 Middle Island Resources Exploring golden frontiers

Focused on gold, selecting under-explored territories within West Africa.

38 Demir Export

Turning experience into excellence One of the leading diversified mining companies in Turkey with extensive know-how and competency.

Minerals: 48 continental coal

38 4|

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African energy for Asia

With three operating mines and another in development this year, growth is a key part of its policy.

contents

services: 58 Abraservice Nederland More than a steel supplier The secrets behind Abraservice’s success.

58

68 Starlite Aviation Group A star shining bright

How the group is perfectly positioned to capitalise on future growth opportunities.

special report: ZAMBIA ENERGY & Resources 82 NWCCI

Encouraging economic empowerment

82

President of the North Western Chamber of Commerce and Industry (NWCCI), Mathias Mutupa discusses the development of Zambia’s North-Western Province, home to some of today’s most exciting mining operations.

88 executive insight

Randy Findlay

88

Randy Findlay, Sentinel Project Manager, discusses his involvement with the Trident project’s flagship Sentinel mine development.

MORE >>> BE Mining

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Issue No.11

Continued >>> 92 at a glance

the vital statistics

Some key facts and figures about the energy and resource operations in Zambia.

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94 First Quantum Minerals – Trident overview A quantum leap for Zambia

John Gladston, Trident Resource Optimisation Manager, discusses the history and growth of the Trident project, the largest single investment project that Zambia has ever witnessed.

124 First Quantum Minerals – Trident CSR Building a brighter future

First Quantum Minerals has gained an impressive reputation for its corporate social responsibility efforts. The incredible work it is undertaking as part of its Trident project is testament to this.

124

154 standard bank setting the standard

How Standard Bank plays a key role within Africa’s emerging markets and its ongoing commitment to the continent.

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contents

164 Sino Grinding

Grinding out results Pieter Theunissen, Marketing Manager for Africa, and Mark Addison, General Manager of Sino Grinding (Americas) Inc, explain how Sino Grinding became the next global leader in grinding media and how it intends to remain as such.

164

172 zesco

Powering Zambia Zesco, Zambia’s national power provider, has been beset by problems, many of them a legacy of under investment and piecemeal growth: but these are now being addressed head on and state of the art technology is the order of the day.

172

mining Directory: 182 Amalgamated Dress 184 BIA OVERSEAS SA 186 Consolidated Wire Industries (CWI) 188 LEONARD LIGHT INDUSTRIES 190 weir minerals

184 BE Mining

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Q&A

World Bank Group International Finance Corporation (IFC) Mining We talk to the Global Head of IFC Mining, Tom Butler and IFC Communications Officer, Josef Skoldeberg about the important issues facing the industry today and how ethical, sustainable mining can be the key to alleviating poverty in developing countries Will Daynes Research by Richard Half hide Words by

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From your position within the IFC, what is your perception of the global mining sector today?

Butler: Obviously the industry today is facing a lot of pressure when it comes to the commodity downturn that we have seen and the subsequent need to cut costs and shelve a number of projects because of the market environment. From my perspective within the IFC, I think for the most part the industry has shown in recent times that it understands the need and importance of having what has been called a social license to operate, and this means conducting activities in a way that is acceptable from an environmental and social perspective. Whereas some 10-to-15 years ago a large number of companies would have admitted that such issues would not be high on their

list of priorities, today the vast majority have made it a top priority – many are getting it right on environmental matters – that is what engineers are good at, and mining companies are full of engineers - but on social aspects and community interactions, many companies are still struggling to get it right.

How would you define the IFC’s role in the mining sector today?

Butler: Today we are involved in some really big landmark transactions, which will significantly impact the host countries when they finally start producing. That is one strand of our business and it is a key strand for us to be involved in. The other strand of our business is what we call our Early Equity Strategy, which is to invest in junior mining companies that are still in the exploration stage and that is something we have built up in the last six or seven years.

We only used to look at financing projects at a construction stage, whereas now we are engaging at a much earlier stage with companies, working with them to help get the environmental, social and sustainability aspects of their business right so that by the time they get to construction they have got a project that has the best possible social licence to operate.

In its role of adding value to clients in the mining sector, how does the IFC approach individual operations and is there a set of criteria you look for in a project before becoming involved?

Tom Butler

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Butler: IFC is the private sector part of the World Bank and in many ways we

Q&A

“One of the main things we do is run an annual event called the IFC Sustainable Exchange where we try to facilitate an exchange of information, knowledge and ideas� act like a commercial bank, with the difference being that we are prepared to go to places that a typical commercial bank may not interested in going. So the first thing to say is that any project we look at has to make sense from a commercial point of view, we are not a provider of soft funding or subsidised funding. The second thing we look for is sponsors, ownership and management who are committed to implementing our performance standards, which basically govern the environmental and social approach to a project and to developing the project in a sustainable manner.

There are lots of definitions that can accompany the word sustainable, but to my mind it means in a way that will maximise the positive impact of the project for all stakeholders.

What would you identify as some of the bigger challenges that mining companies are facing today?

Butler: What a number of companies are struggling more with is the social dimension of their operations. We have found that the expectations of local communities to be engaged are increasing, largely as a result of the globalisation of communications and the fact that people have instant

access information and events connected to mining on the other side of the planet. This means that a lot of companies constantly have to play catch up with just how fast the world of communications is evolving.

We are putting a lot of effort towards this particular issue and are working closely with our client companies to make them aware of the importance of getting the communication aspect of their business right.

How exactly are you helping your client companies overcome this particular issue?

Skoldeberg: One area that mining companies are starting to focus more on is going beyond communicating with their staff, consultants and stakeholders, and ensuring that things can be communicated back up within the business itself. We help our smaller clients establish the processes and strategies for communication with their stakeholders that are appropriate for their size, and the business phase they are in. When it comes to our larger clients we take a look at how they are approaching the idea of communications in general and then offer any advice and assistance. We are also working on some studies on trends and best practices in

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Q&A

communications with partners in the mining industry that we hope to complete in the fall of 2013.

issue has been dealt with elsewhere with the aim of reaching a positive conclusion for all parties.

The demand for mining companies to prove that they can conduct their operations in an ethical and responsible manner has arguably never been greater. Have you been encouraged by what you have seen from said companies when it comes to addressing these issues?

You touched on the concept of sustainability earlier and this is another core theme today.

How is IFC helping to facilitate positive developments in this area of the industry?

Butler: I think most companies do understand the importance of these issues, most companies are saying that they are doing it and most are actually getting it right on the environmental side. Where I see a number struggling however is on that social side of things that I mentioned previously, as this can be because the necessary cultural change within a company takes longer to be implement or simply because achieving the commitments made by top management can be extremely difficult in a short space of time. Where IFC stands in all this is that we have a huge amount of experience of, and exposure to, a range of global issues and such we have the ability to look at a particular problem for a company in one location and highlight examples of the way that

Butler: One of the main things we do is run an annual event called the IFC Sustainable Exchange where we try to facilitate an exchange of information, knowledge and ideas. Through such gatherings and our work in general we are able to witness common themes across the industry. One such theme is the issue of water management, particularly in dry countries like Chile, in Mongolia where there is a water shortage and in countries like Peru where local communities fear that mining projects will negatively impact their own resources. One of the ways we are trying to help companies work through these issues is by exercising what we call our convening power.

Because of who we are we are able to convene discussions and working groups on these kinds of issues. We have got a multi-company group in Mongolia for example that is trying to work through

“The reason that the World Bank Group supports the mining industry is fundamentally because in a number of countries mining is the key to alleviating poverty and that is the core, underlying mission of the World Bank Group�

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Weekly Because a month is a long time to wait...

Your weekly digest of business news and views www.bus-ex.com

Q&A

how to deal with the issues around access to water, communications around how much water a project will use and how much this will impact on the community.

Further to that, how would you describe the IFC’s agenda for the immediate future when it comes to mining related activities?

What do you feel will be the bigger issues facing the mining sector in developing countries in the coming years?

Butler: The reason that the World Bank Group supports the mining industry is fundamentally because in a number of countries mining is the key to alleviating poverty and that is the core, underlying mission of the World Bank Group. In a large number of countries mining is indeed going to be key to achieving that because the fiscal flows to government generated from a successful mine can be hugely significant. Therefore our continued priority will be to support mining projects in these developing countries where mining can really make a big difference to the lives of everyone.

Butler: One of the top issues which the G8 has decided to focus on this year is transparency within the industry.

While it is fair to say that a number of companies have taken a lead by voluntarily disclosing the nature of the contracts agreed with governments, there will certainly be a bigger push to this transparency to become much broader.

This will require developing countries that have big extractive industries to be much more open about what is being signed up to, what kind of payments are being received from mining companies and what that money is being used for.

We will hear even more about this in the next few years.

For more information about International Finance Corporation (IFC) Mining please visit: www.ifc.org/ogmc

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A harmonious

approach to mining Harmony Gold Mining Company Limited CEO Graham Briggs reveals how the company is weathering the rapidly evolving mining environment in South Africa, making itself a stronger business in the process

written by: Will Daynes research by: Vincent Kielty & Robert Hodgson

16 | BE Mining

Harmony Gold

s

g

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Underground fitter, Tshepong Mine, Free State

Harmony Gold

I

think it is fair to say that quite a lot has been happening since we last spoke in June 2012,” states Harmony’s CEO, Graham Briggs. “If you look at the last 18 to 24 months we have witnessed the incredible rise in gold prices, which was a particularly welcome relief from the cost pressures that had been mounting here in South Africa, and its subsequent come down, in addition to the well documented labour issues that have beset the mining sector.”

The last twelve months in particular have also seen Harmony’s own business take significant steps as it continues to work towards achieving its core strategy, which includes safe gold production and growing its margins. “We have managed to weather the external factors such as the labour issues fairly well and today find ourselves in a position where production is again ramping up and employee morale is steadily rising,” Briggs continues. “At the same time we, like many South African companies, had a great year when it comes to safety and are in the midst of our best safety performance ever, which is hugely gratifying given the amount of hard work that has gone into that side of the business.”

As one of the world’s largest gold mining companies, Harmony boasts operations in both South Africa and Papua New Guinea (PNG). In the former the company has ten underground and one open-pit mine, as well as several other surface operations, located in Free State, North West and Gauteng provinces.

In its portfolio in PNG it has a 50 percent interest in the Morobe Mining Joint Ventures,

BE Mining | 19

Harmony Gold which includes Hidden Valley, an open pit gold and silver mine and the Wafi-Golpu copper-gold deposit where it completed a feasibility study in the last year. This was a significant achievement and one that paves the way for what one day promises to be a significant producer of gold and copper, one that possesses an estimated mine life of more than 30 years. “In South Africa,� Briggs explains, “our strategy for some time now has been to close our lower grade and aging mines, and focus

Wafi-Golpu exploration drilling

our investment on newer mines. Until now we have been sinking shafts and developing new assets and these are now getting to the stage

MINEWARE CONSULTING Since 1996, MineWare Consulting has been offering software solutions tailored to the Mining Industry. In order to keep pace with developments in technology and business, the company is writing all new software to be compatible with handheld devices such as Ipads and Toughpads. This affords users freedom of movement and greatly simplifies usage input. MineWare has made it a priority to ensure that all of its systems are SOX compliant and that all areas of said systems are fully auditable. The company also makes use of telemetry, which allows programs to track raw data and pull it directly into the software, thus eliminating human error.

New software directions include the graphical suite, which can import and link current graphical files and use these to enable

graphical planning and booking to take place.

The system allows all spatially orientated data currently stored within the systems e.g deviation to plan, safety hot spots, lost blasts, etc. to be viewed and analysed in 2D and 3D. The shift-boss logbook software can now be accessed via a new tough tablet. This device can be used underground and at the face by shift bosses, enabling them to log bookings and perform safety checks immediately on site.

MineWare is proud to be involved in the Gold Mining Sector, and believes that with ongoing innovation and attention to client service, it will continue to grow within this dynamic area of the Mining Industry.

E. isaker@mweb.co.za www.mineware.co.za

BE Mining | 21

30+ years Estimated mine life of the Wafi-Golpu copper-gold deposit

Tshepong Mine in the Free State

22 | BE Mining

where they can be ramped up to production.

We have four such projects at this stage and they continue to display great progress.”

Nevertheless, as Briggs himself has stated, the last year has been one of ups and downs when it comes to the wider mining community and this has presented the company with its own challenges.

“I suppose the biggest challenge that we have here in South Africa, where we have a very large workforce of around 36,000 people working for Harmony, is ensuring that, while labour disputes and negotiations are on-going, our people remain focused on working together as a team to do their best under a shared objective. One of the ways we are working to achieve this is by refocusing more of our efforts towards the training and motivation of our people.”

In addition to this refocusing, Harmony has also made efforts to improve the level of communication across all of its individual business units and operations groups, and to put in place clear, work-based incentives.

“We have communications officers based within each of our operations,” Briggs highlights, “and it is their job to stay close to the unit and keep the flow of information running smoothly to ensure we all work

Harmony Gold

Phakisa Ice-plant

towards a long-term goal that is for the greater good of everyone.”

As was covered in some detail the last time we spoke to Briggs, over the decades that it has been in existence Harmony has built for itself a commendable reputation for being a highly responsible and ethical mining company. Indeed it is Harmony’s clear belief

that these are traits that should be at the heart of one’s business.

“One thing that we have done a lot of in the last couple of years is assist in the process of environmental rehabilitation,” Briggs enthuses. “Where old mines have closed down and left a footprint of old buildings and shafts, we have been going in and helping

“We have been sinking shafts and developing new assets and these are now getting to the stage where they can be ramped up to production” BE Mining | 23

“By remaining flexible at a time when other companies are experiencing financial pressures we have managed to maintain ourselves at close to zero net debt�

Underground at Target 1, Free State

24 | BE Mining

Harmony Gold to clean up those areas, retrieve equipment and metals that can be recycled, and ultimately look to return them to their previous habitat. Further to this we have programmes that are looking at ways that we can take some of this land and transform it into areas where food or bio-energy crops could be grown. These are just a couple of focus areas within our business that one doesn’t normally associate with mining companies, however they are no less important than anything else we do.”

One thing that becomes clear very quickly when talking to Briggs is that, even in the face of difficult external Carrying out roof bolt installations at Doornkop Mine, Gauteng factors, he remains incredibly optimistic about mining in South Africa and partners have every reason to remain about gold mining in particular. “We are still confident of the company’s progress. “By very bullish on gold and while the current ensuring that we remain flexible at a time price is an understandable source of bother when other companies are experiencing for us at the moment, I for one certainly do financial pressures we have managed to not expect it to remain below the US$1,200 to maintain ourselves at close to zero net debt.

1,250 ounce mark for much longer. I believe In fact today we are slightly cash positive and that within the next two years it will have that is a testament in itself to the great work risen about the US$1,400 ounce mark and that we continue to do.” that will create increased opportunities in the gold space that we are already working hard For more information about to position ourselves to take advantage of.”

Harmony Gold visit: As for Harmony itself, Briggs concludes www.harmony.co.za by highlighting why its shareholders and

BE Mining | 25

company in brief Harmony Gold Mining Company Limited (Harmony) is engaged in conducting underground and surface gold mining and related activities, including exploration, processing and smelting.

During the fiscal year ended June 30, 2012 (fiscal 2012), its mining operations reported total proven and probable reserves of 52.9 million ounces (including gold equivalent ounces), primarily from South African sources. During fiscal 2012, we processed 20.7 million tons of ore. During fiscal 2012, approximately 84% of its gold came from the Company’s South African underground mines, and approximately 9% came from its South African surface operations (which

include the Kalgold opencast operation and the Phoenix operation). The Company conducts surface mining at four sites which include Free State (also known as Phoenix); Freegold; Kalgold; and Target.

MANAGEMENT AND DIRECTORS Graham P. Briggs

Anton Buthelezi

Chief Executive Officer, Executive Director

Executive - Human Resources

Frank Abbott

Matthews Pheello Dikane

Financial Director, Executive Director

Executive - Legal, Governance and Ethics

Johannes van Heerden

Melanie Naidoo-Vermaak

Chief Executive Officer, South East Asia

Executive - Environment

Harry Ephraim Mashego

Alwyn Pretorius

Executive Director

Executive - Safety and Health

Jaco Boshoff

Tom Smith

Executive - Mineral Resources Development and Growth; Acting Chief Operating Officer for Evander

Chief Operating Officer, South Africa Operations

26 | BE Mining

harmony gold stock watch

Office Head Office Randfontein Office park Corner of Main Reef Road and Ward Avenue RANDFONTEIN, 1759 South Africa T +27-11-4112000 F +27-11-6923879

Exchange NYSE

Shares 435.29M

Symbol HMY

Market Cap. 1,675.87M

Currency USD

Div/yield 0.05/3.00

highlights • 7% increase in underground grade • Lowest recorded annual LTIFR • Evander sale transaction completed • Watershed agreement signed with Kusasalethu labour • Gold production decreased by 2% to 35 374kg (1 137 297oz) • Cash operating costs increased to R327 210/ kg (US$1 154/oz) • Operating profit lower at R4.5bn (US$511 million) • Headline profit per share of 47 SA cents (5 US cents) • No final dividend declared (interim dividend of 50 SA cents paid)

www.harmony.co.za

products • Gold

operating territories • South Africa • Papua New Guinea

Key stats and ratios

Q2 (Jun ‘13) Net profit margin -100.27% Operating margin -93.22% EBITD margin - Return on average assets -32.26% Return on average equity -41.74%

2013 -16.81% -13.31% 15.75% -6.38% -8.20%

Financial information from Google Finance and Thomson Reuters

BE Mining | 27

Exploring golden frontiers Middle Island Resources Limited (MDI) is focused on gold, selecting underexplored territories within West Africa: it is not afraid of commitment, hoping to acquire a producing mine in Niger in order to consolidate its position there

written by: john o’hanlon research by: robert hodgson

28 | BE Mining

Middle Island Resources

BE Mining | 29

Middle Island Resources

B

alancing risk s against and cheaply collecting geochemical samples opportunities is always a difficult from underneath shallow overburden or in call, and it is a problem that ASX places where some surface contamination is listed Middle Island Resources suspected. The augers are typically simple takes very seriously. That is petrol engine driven devices mounded at the why the company, which was established to back of a small trailer or truck, and as such are develop gold prospects in West Africa, has versatile and easily moved to the optimum site. focused on countries that have an ‘acceptable’ “They allow rapid assessment of large tracts level of sovereign risk, and in which there has of prospective terrain,” he says, “defining the been some precedent of successful mining. saprolite gold response beneath transported The company has made rapid progress or transposed soil and laterite cover.” The since its IPO in December 2010, thanks to its Middle Island executive team has been largely strong portfolio of properties and the very responsible for recognising the requirement deep and broad experience of its management for this exploration technique, and was team, led by MD Rick Yeates, responsible for introducing the first fleet of 4x4-mounted a professional geologist with 30 years of international auger rigs into West Africa experience, much of it in in 2006 to facilitate an West Africa. After periods impressive increase in the deposit discovery rate. spent at BHP Billiton, Extent of Reo property Newmont and Amax, Yeates The three countries in in Burkina Faso founded a small consulting which Middle Island operates, and contracting group, RSG, Burkina Faso, Liberia and which subsequently grew into RSG Global Niger each have their own particular issues an international business which was sold to relating conflict and deprivation, however an Australian listed group Coffey Mining in they are generally stable jurisdictions and 2006. He remained with Coffey until he took share the need to develop their resources in the step of establishing Middle Island in 2010. order to provide much needed GDP growth.

Yeates and his team believe that West They are mining-friendly countries, and Africa offers exposure to one of the best- he points out that spreading out endowed and most prospective gold terrains operations across different economies itself on earth, where new discoveries continue to mitigates the risk to investors. These are also be routinely made and new projects are being under-explored territories. developed. The rate of discovery right across Liberia is a case in point. Middle Island’s the Sahel in particular, as opposed to the rain Nuon River Project, 275 kilometres from the forests to the south, has been enhanced by capital Monrovia, is considered to represent the application of auger drilling techniques. one of the most technically prospective gold Auger drilling is a useful tool for quickly holdings in West Africa and Yeates believes

1,116 km2

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NEW PRECIOUS RESOURCE DISCOVERED

Click here to visit our dedicated homepage for the mining community www.bus-ex.com/mining BEST PRACTICE IN MINING

Middle Island Resources it could generate in excess foraco of two million ounces of Foraco, a global provider of drilling services to the mining gold. This substantially industry in Africa, is pleased to be partnering with Middle under-explored region of Island Resources in advancing their projects in Niger and Liberia may yet prove to Burkina Faso. host the company’s first Our equipment includes high-tech drilling rigs offering significant gold resource, reliability, performance and safety. Our staff is experienced and dedicated to the successful completion of your projects. in part because the shallow All this combined with our values of integrity, innovation dip minimises drilling and involvement has resulted in Foraco becoming the third requirements. However largest global mineral driller. it is more expensive to www.foraco.com operate there so in view of the current uncertainty in gold prices the focus has shifted to more advanced targets in Burkina Faso and Niger.

The Reo Project in Burkina Faso lies approximately 150km by road west of the capital Ouagadougou and consists of exploration permits in which Middle Island has a 100 percent interest, acquired from Newmont Mining for $2.5 million. The exploration permits collectively cover an area of 1,166 square kilometres. Between 2007 and 2010, gold mineralisation was identified

by Newmont at six main prospects, and a further volcanic massive sulphide (VMS) prospect is located to the south-east of the Bissou permit application. A further prospect, Samba, has been identified Middle Island’s own subsequent exploration.

However many may feel that the foothold Middle Island has gained in the Sirba

“Auger drilling allows rapid assessment of large tracts of prospective terrain” BE Mining | 33

“You can produce gold on site, fly it out in an aeroplane and sell it over the counter” greenstone belt of Niger is of even greater potential. The gold mined at Samira Hill since 2004 has been of strategic importance to the government of Niger, which holds a 20 percent stake in the mine. The company had been developing a number of properties in the vicinity: now it has agreed to buy out the remaining 80 percent of Samira Hill from the Canada’s Semafo for $1.25 million. This is a transformational opportunity for Middle Island, says Yeates, who predicts a life of at least eight years, with production of between

34 | BE Mining

40,000 and 50,000 ounces per annum for the first three years with further upside when the other deposits within Sirba, namely Kirba and Tialkam South, are added. However it is not yet a done deal, as Niger’s state mining company Sopamin has expressed an interest in extending its existing 20 percent to full ownership of Samira Hill.

Despite recent fluctuations in the price of gold, in the longer term it remains very strong, he and his fellow directors are convinced. “You can produce it on site, fly it out in an aeroplane

Middle Island Resources

and sell it over the counter. There is no need for expensive infrastructure, railroads, ports and so on.” That creates an ideal situation in Africa’s Savanna belt, where roads are few.

Though headquartered in Perth, Western Australia, Middle Island’s primary operating base is located in Ouagadougou and is supported by small satellite offices in Niamey and Monrovia. Exploration bases and fly camps have also been established at the Reo, Nassilé and Nuon River projects. Middle Island Resources contributes up to five percent of its exploration budget each year to social development initiatives within the communities in which it operates.

This is no mere window dressing: the company insists on projects being sustainable in the long term. They must be developed

in close consultation with local communities and be consistent with their priorities. And they must be designed, implemented and managed by an experienced NGO. The first social project in partnership with French NGO, Eau Vive, provided the village of Pouni Nord near the Reo Project in Burkina Faso with drinking water, pumped by solar power. At Koutougou near the Nassilé Project in Niger the company built a school and sanitary facilities as well as a water borehole and further projects followed in Burkina Faso and Liberia.

For more information about Middle Island Resources visit: www.middleisland.com.au

BE Mining | 35

company in brief Middle Island Resources Limited is an Australiabased company. The Company has the right to three projects, comprising six granted exploration permits and four exploration permit applications covering an aggregate area of 2,565.4 square kilometers located in the countries of Burkina Faso and Niger in West Africa. Its projects are the Reo project in Burkina Faso and the Nassile and Dogona projects in Niger. The Reo Project is located in Burkina Faso, approximately 150 kilometer (km) by road west of the capital Ouagadougou. The Nassile Project geology comprises volcanics, sediments and granitoids of the Birimian Sirba greenstone belt, which extends north from Burkina Faso to the Niger

River. The Dogona Project comprises two exploration permit applications, Boulkagou and Dogona, which are respectively located 15km north and 35km south of the Samira Hill Gold Mine in Niger, within 100km of the capital Niamey.

MANAGEMENT AND DIRECTORS Richard Yeates

Dennis William Wilkins

Chief Executive Officer, Managing Director, Executive Director

Company Secretary

Beau Nicholls

Non-Executive Chairman of the Board

Technical Director, Executive Director

Andrew Chubb Exploration Manager - West Africa

36 | BE Mining

Peter Thomas Linton John Kirk Independent Non-Executive Director

middle island resources stock watch

Office Head Office Unit 2, 2 Richardson Street, WEST PERTH PERTH, WAS 6005 Australia T +61-8-93221430 F +61-8-93221474

Exchange ASX

Shares 124.99M

Symbol MDI

Market Cap. 13.75M

Currency AUD

Div/yield -

highlights • Primary ambition to build a resources based of >1.1 to 1.2Moz of gold on at least one project within 2 years of listing, with a minimum target of some 700,000oz in reserves, providing for a 7 year project life at a production rate of at least 100,000oz pa.

• Newmont a 10.15% shareholder by virtue of the Reo Project share purchase and sale agreement, with its pro-rata participation in the recent capital raising providing a clear endorsement of the Company’s strategy, management and project potential.

• Healthy balance sheet and strong cash position, providing the opportunity to capitalise on new opportunites as they arise.

www.middleisland.com.au

products • Gold

operating territories • Burkina Faso • Niger

• Liberia

Key stats and ratios

Q2 (Jun ‘12) 2012 Net profit margin -2015.62% -1423.75% Operating margin -2015.62% -1423.75% EBITD margin - -1395.21% Return on average assets -69.85% -48.13% Return on average equity -72.73% -50.29%

Financial information from Google Finance and Thomson Reuters

BE Mining | 37

Demir Export

Turning experience into excellence Having more than a half century’s experience, Demir Export is recognised as one of the leading diversified mining companies in Turkey with extensive know-how and competency

written by: NilgĂźl Pelit Poyraz research by: Abi Abagun

BE Mining | 39

Demir Export

F

ounded under Koç Group, one of the largest and most successful industrial and trading enterprises in Turkey, Demir Export has produced iron ore since 1957.

In subsequent years, Demir Export also initiated production of base and precious metals such as zinc, lead, copper and silver ore concentrates in addition to lignite and chromite ore production in lumpy form and as concentrates. The yearly copper concentrate production of Demir Export from its underground operations in Giresun, north east Turkey, comes in at 15,000 tonnes, while yearly chromite production in Bursa province is 30,000 tonnes. Meanwhile, iron ore production from six different iron ore operations in Sivas, Kayseri and Balıkesir provinces has reached 1.5 metric tonnes per year, all of which is sold to domestic integrated steel mills, namely Kardemir, Erdemir and İsdemir. Demir Export is making significant steps to extend this spectrum with new operations that it expects to commence in the near future.

Iron ore, after which Demir Export was named, has been the key production product for the company throughout its history. Demir Export has gone on to become a major supplier in the domestic market, serving the largest integrated iron and steel plants of Turkey.

The company’s iron ore operations can today be found in Çetinkaya, Purunsur, Elkondu, Otlukilise, Uzunpınar and Şamlı. While the iron ore production in 2012 was 750,000 tonnes, the production capacity for 2013 has been increased to 1,500,000 tonnes. In May 2013, Demir Export acquired 100 percent of the

BE Mining | 41

Demir Export shares of Ferrocom Madencilik operating in Divriği-Sivas.

With this acquisition Demir Export is now targeting to elevate its premium quality iron ore production to more than 500,000 tonnes per annum.

Another major product for the company has been its copper ore concentrate production which occurs in Lahanos, in the Eastern Black Sea Region of Anatolia. The production volume in 2012 for copper was approximately 14,800 tonnes, all of which was subsequently exported.

Lahanos is still an active operation where the remaining estimated copper concentrate production for 2013 has been determined as being 12,000 tonnes.

In addition to its iron ore and copper assets, Demir Export’s Güdecek chromite operation is located in Güdecek Sırtı region of Ömeraltı village in Mustafakemalpasa district at a distance of 140 kilometres from Bursa. Last year 25,500 tonnes of concentrate was produced from this operation, whereas the target for 2013 has been increased to 35,000 tonnes.

In addition to its existing operations, Demir Export plans to grow its business by developing new projects and adding new products to its production portfolio. Having produced almost 90 million tonnes of coal in Kangal between 1989 and 2012, Demir Export is now in the process of developing an underground coal mine at East Eynez, in Western Turkey, which

ORTADOGU SONDAJ Ortadogu Drilling Ltd., was established with the purpose of providing drilling services for the mining and energy sector. Our company brings drilling and engineering services with continuously being improved drill rigs for diamond drilling projects. With the experienced drilling crew, our main goal is to satisfy the expectations of customers by completing boreholes with the highest possible core recovery. While increasing the knowledge and experience of our personnel by periodical trainings, the company follows the “ISO 9001 Quality Management System”.

By observing the national and international

legal legislations and requirements, we commit to follow the change in regulations, ensure the application of these changes, apply and monitor our procedures and continuously improve all of our activities.

Especially for the energy sector, our company drills the deepest slim holes in Turkey, which are cored with the purpose of exploring the geothermal heat gradient. These holes, some of which are deeper than 2.000 meters, are drilled with our own manufactured deep hole drill rigs “GEO- 1500”. www.ortadogusondaj.com

BE Mining | 43

“Demir Export has gone on to become a major supplier in the domestic market, serving the largest integrated iron and steel plants of Turkey� it predicts will start production in 2015. A fully mechanized longwall method will be employed and occupational health and safety will be of utmost importance at East Eynez where 36.6 million tonnes (3 million tonnes per year) will be produced in the estomated 18 years of mine life. Demir Export will be the first company in Turkey to implement Mechanized Longwall Top Coal Caving (LTCC) for underground coal production.

Another major operation that the company

44 | BE Mining

is excitedly preparing to run is BakÄąrtepe gold project where total mineable reserves have been estimated as being 4.0 tonnes of gold metal out of total geological source of 150,000 oz. The EIA approval was granted for the project, which will become a running mine operation by the first quarter of 2014. The operation is estimated to create 96 new direct local jobs for the surrounding community, which in turn will provide indirect economic benefit for 441 people in the region.

Demir Export

To develop the current product portfolio and to explore new production areas, the Exploration and Project Group of Demir Export capitalizes on a know-how which has accumulated over 50 years for domestic and international exploration, engineering and development projects.

In a bid to development a sustainable mining structure throughout the business, the company has recently undergone a signifiant corporate reorganization. This has led to the establishment of an environmental and social management framework based on international best practices, in addition to the operational requirements. This framework is aimed to ensure long-term success in applying corporate policies.

Looking ahead, and in line with said reorganization, Demir Export is committed

to exploring and operating at the highest standards of responsible resource development. The top priorities of the company continue to be occupational health and safety, environmental protection and the well-being of the communities around which it operates. These primary principles are embedded in all phases of the company’s operations. Demir Export is today combining a half century of experience with a young and innovative management style in order to achieve remarkable success in sustaining corporate growth and development in the Turkish mining industry.

For more information about Demir Export visit: www.demirexport.com

BE Mining | 45

company in brief Demir Export A.S. has produced iron ore since its founding in 1957. In subsequent years, we also initiated production of base metals such as zinc, lead and copper ore concentrates as well as chromeite ore production as lumpy and concentrates.

In addition to these expanded production activities, our company today holds an important position in other areas of the mining industry such as ore processing and beneficiation, earthworks and mining, contracting, greenfield, exploration and mine development, and engineering studies.

Demir Export A.S. is one of the leading mining companies in Turkey with extensive know-how, competency, expertise and fit-to-purpose mining fleet.

Our Mission To contribute to the utilization of Turkey’s natural resources in the most beneficial way

and to sustain our growth and development by extending mining activities beyond Turkey’s borders, employing state-of-the art technology bolstered by our knowledge and experience.

Our Vision To be the largest company in Turkish mining industry and to gain more expertise in the growing energy sector and in foreign mining and contracting markets.

MANAGEMENT AND DIRECTORS Mehmet Omer Koç

Semahat Sevim Arsel

Chairman

Member

Erol Memioglu

Yildirim Ali Koç

Deputy Chairman

Member

Mustafa Rahmi Koç

Osman Turgay Durak

Member

Member

Mustafa Vehbi Koç Member

46 | BE Mining

demir export Key Mining operations

Locations

• Sivas Otlukilise Iron Ore Mine • Sivas Çetinkaya Iron Ore Mine • Sivas Purunsur Iron Ore Mine • Balıkesir Şamlı Iron Ore Mine • Kayseri Uzunpınar Iron Ore Mine • Giresun-Lahanos Copper Mine • Orhaneli Güdecek Chromite Mine • Elkondu Iron Ore Mine

Headquarters Izmir Cad. No: 25/7 06440 Kızılay ANKARA/ TURKEY T +90 (312) 415 4500 F +90 (312) 418 0151

Business areas

Kangal Coal Mine Kangal Kömür Isletmesi Kangal - SIVAS/TURKEY T +90 (346) 457 5010 F +90 (346) 457 5019

• Iron Ore • Zinc • Lead • Copper Ore • Chromelit

business Activities • Ore processing • Earthworks • Mining • Contracting • Greenfield • Exploration • Mine development • Engineering study

Central Workshop Istanbul Yolu Etimesgut - ANKARA/ TURKEY T +90 (312) 278 0285 / 86 F +90 (312) 278 1457

Harmancık Chrome Exploration and Production Mine / BURSA - TURKEY T +90 (224) 881 2009 F +90 (224) 881 3263 Lahanos Bakır-Çinko Isletmesi / GIRESUN T +90 (454) 627 2066 F +90 (454) 627 2035 www.demirexport.com

BE Mining | 47

48 | BE Mining

Continental Coal

African energy for Asia Continental Coal is a company whose second name could be ‘expansion’: with three operating mines and another in development this year, growth is a key part of its policy

written by: john o’hanlon research by: Robert Hodgson BE Mining | 49

Continental Coal

B

ased in Perth, Western Australia, is destined for Asia, shipped out through the and listed on the Australian largest coal terminal in the world, Richards Securities exchange (ASX), Bay in KwaZulu Natal. It might be thought Continental Coal is a mining that Australia itself, or the coalfields of company with an Australian India were better placed to supply China, accent – which means it understands coal and it is true that logistically these do have production and, even more importantly, the an edge on South Africa. However Jason market that is blotting up most of the world’s Brewer the company’s finance director has coal and promises to do so for a long time. This pointed out that reliability of supply is of the is of course Asia, and notably China and India. first importance to the power generators of However Continental Coal is a thermal coal Asia. Thanks to Richards Bay South Africa producer, which means its primary market is can provide a more dependable service power generation: whatever the shape of these that either Indonesia with its quality issues great economies’ industry and even Australia, where in periods of future growth, port expansion and rail energy is going to be required infrastructure projects delays and the most cost effective are an issue. way to provide this is still coal.

Continental currently The company is unusual in has three operating mines, that its production assets are Penumbra, Vlakvarkfontein currently all located in South and Ferreira, producing 2.8 Invested at Africa. The head office may million tonnes per annum Penumbra mine be in Perth but the company of thermal coal for both the defines itself as a South export and domestic markets.

African producer. As well as being listed on In 2013/14 Continental is set to commence the ASX, it has been listed on London’s AIM development of its fourth thermal coal mine, market since September 2011, giving it access De Wittekrans. The Ferreira mine near Ermelo to a wider variety of investors. It is now in the in Mpumalanga Province is just two kilometres process of listing on the Johannesburg Stock from the company’s Delta processing plant. It Exchange too, and its CEO is a South African. is a conventional open-case mine: operations Don Turvey has spent most of his 27 years’ started here in 2008, and the mine was slated experience in the coal industry in his native for closure last year until the mine’s life was country, much of it working for BHP Billiton, extended last year to incorporate adjacent through he has experience of Australia, the resources. It is now expected to produce up to an additional 700,000 tonnes.

USA and Indonesia as well.

Though it has key supply agreements However a more recent acquisition, with Eskom, South Africa’s national power Vlakvarkfontein another open cast mine 100 generation company, the bulk of its production kilometres away near Delmas to the west

$33

million

BE Mining | 51

Endeto Engineering is a newly established company in Middelburg, Mpumalanga.

Our main aim is to deliver an excellent service to our clients. We offer and deliver fabrication, machining, maintenance and construction services at a highly competitive price.

FABRICATION AND ERECTION

• Specialized welding • Ducting’s and Dampers • Conveyor Pulleys, Drives Systems and Structures • Raw Coal Systems i.e. Chutes, Square to Rounds, Coal Gates, Raw Coal Pipes, etc.

• Machine Spares or Components • Screens, Screen Parts and Feeders PIPING AND STRUCTURAL STEEL • Air lines for valves and control systems • Pipe Installations (large and small bore)

• Any Steel Structures GENERAL PLANT MAINTENANCE • Routine Maintenance on: • Washing Plants • Mining machinery • Coal handling/processing plant • Conveyor Systems • Ductings and Dampers • Precipitators • Ash Handling Systems • Boiler Burners • Turbine Auxiliary Systems

• Turbine Components • Machining (all types) Sheeting Repairs • Roof and • Water Plants • Pump Repairs • Sewage Plants and Systems • Valve Maintenance

“Your highest level of Service” Tel: 013-246 1310 Fax: 013-246 1383 | 086 679 0290 Office Email: admin@endeto.co.za

Show the world what your company has to offer with our tailored packages

Seen www.bus-ex.com

Continental Coal of Johannesburg is a key Endeto Engineering asset regarding the domestic Endeto Engineering is a new established company in market for Continental.

Middelburg, Mpumalanga with a great future ahead.

Under a contract signed in The combination of skills shared by the owners of Endeto March 2012 it is one of only Engineering is a strong foundation for the success of the 25 direct suppliers of coal business. Our members have extensive experience in the to Eskom, and its 17 million maintenance and production fields of the Engineering Industry and have served the Industry for over 20 years. tonnes of proven reserve is They also specialize in Power Generation experience sufficient to keep supplying with specific experience in Maintenance Management it for another decade.

(Mechanical and Electrical), Contract Management and Between them Ferreira and Project Management.

Vlakvarkfontein produce 1.2 We specialise in steel fabrication, machining, repairs, million tonnes per annum mechanical maintenance and construction, recognising for the domestic market and the needs of today’s industry. admin@endeto.co.za 600,000 tonnes for export.

Ferreira is now a stable operation while Vlakvarkfontein is exceeding all its targets and is now producing 1.4 million tonnes a year. However it is Continental Coal’s third operating mine Penumbra, five kilometres from Ferreira, that is driving the next phase of the Australian company’s growth.

Production started there at the end of 2012, with the first coal being mined in November.

Since then it has been a question of fast-track development: the first continuous mining section, including breakers and conveyors, was installed last December, and this was followed up in February this year by a second.

Ferreira coal mine

“Listed on the ASX and AIM, Continental Coal is now in the process of listing on the Johannesburg Stock Exchange” BE Mining | 53

Penumbra is currently producing in the region of 30,000 tonnes a month: at full capacity this will be more than doubled. That stage should be reached before 2013 is out and once the final instalments of the $10 million from the sale of its non-core VanMag vanadium and magnetite arm to a Chinese company have been banked. In all, around $33 million has been invested. This is an underground mine, with enough reserves to last ten years: in the current financial year it is expected to 200,000 tonnes of high quality export coal, generating some $17 million in revenue while at full production it will be generating half a million tonnes for the export market.

All this is very impressive, but it won’t get Continental Coal to the target it has set itself, which is to reach ten million tonnes per year at some point in 2015. Expect then to see a lot more expansion of the type that has already taken place. In 2011 a feasibility study was completed on the company’s De Wittekrans complex, which has the potential to produce 2.4 million tonnes per year of a thermal coal product described as ideally suited to the Asian coal market over an initial 30-year mine life.

De Wittekrans has the potential to become the Company’s flagship project, Don Turvey believes, starting as an open cast operation and later graduating to an underground pit

The company currently sees De Wittekrans as the jewel in its crown, holding as it does estimated reserves of 44 million tonnes, 16.2 million of them in the proven category: it brings the company’s total proven reserves in south Africa to 32.3 million tonnes.

Continental Coal’s community involvement and social responsibility commitment is aimed at encouraging economic development in the areas in which it operates. In the early part of this year the first group of students obtained

“Penumbra is expected to produce 200,000 tonnes of high quality export coal, generating some $17 million in revenue” 54 | BE Mining

Continental Coal

their certificates for successfully completing the first level of their module under the company’s Adult Basic Education and Training Program at the Vlakvarkfontein Coal Mine. In addition directors and managers visited the Arbor Village, located near to the Vlakvarkfontein Coal Mine, where three classrooms at the Arbor Primary School have been renovated and where the donation of a mobile office to the Arbor Home Based Care Group was made by the company to assist in the care of the elderly and sick and the bi-monthly clinic with the Department of Health. Phase 1 of a Lavender Oil Program at the Arbor Village commenced in February 2013, with an initial eight people employed on this project.

The company is very active with other prospects in South Africa, developing a feasibility study for its Vlakplaats project

under an agreement with the Korean company KORES. Vlakplaats is close to Wolvenfontein, another development project recently acquired to consolidate Continental Coal’s position in the Delmas region. At the same time as it reaches out for its ten million tonnes target Continental Coal is looking to expand beyond South – and even southern Africa. Through its Botswana subsidiary, Weldon Investment it holds three tenements in that country, holding massive reserves that it is currently drilling, and Don Turvey has talked of a potential move into East Africa – a move that would make it truly continental.

For more information about Continental Coal visit: www.conticoal.com

BE Mining | 55

company in brief Continental Coal Limited is a South Africabased thermal coal producer with a portfolio of producing and advanced coal projects located in South Africa’s major coal fields. It is principally engaged in mining and development of coal projects. During the fiscal year ended June 30, 2012 (fiscal 2012), the Company focused on mining in South Africa at the Ferreira and Vlakvarkfontein operations, and the construction of its third mining operation at Penumbra.

Continental also continued exploration and development on its other existing coal assets in South Africa and Botswana. On July 25, 2011, its South Africa-based subsidiary, Continental

Coal Ltd, acquired 100% of the share capital of Ultimatum Challenge Trading (UCT) Pty Ltd. On November 21, 2011, it acquired 100% of the Wolvenfontein Coal Project. In May 2013, the Company acquired 16.113% stake in Continental Coal Ltd.

MANAGEMENT AND DIRECTORS Lodewyk Turvey

Michael James Kilbride

Chief Executive Officer, Executive Director

Independent Non-Executive Chairman of the Board

Lourens A. Van Vuuren

Jason Paul Brewer

Chief Financial Officer

Non-Executive Director

Johan Heystek

Johan Bloemsma

Chief Operating Officer

Non-Executive Director

John Ribbons

Andrew Conway Gaorekwe Molusi

Joint Company Secretary

Non-Executive Director

Dennis Wilkins

Bernard Z. Swanepoel

Joint Company Secretary

Non-Executive Director

56 | BE Mining

continental coal stock watch

Office Head Office 9th Floor Fredman Towers 13 Fredman Drive SANDTON, WAS 2196 South Africa T +27-11-8811420 F +27-11-8811423

Exchange LON

Shares -

Symbol COOL

Market Cap. -

Currency GBX

Div/yield -

www.conticoal.com

products • Coal

highlights • No Lost Time Injuries reported at any of the Company’s mining and processing operations or development projects during the Quarter • Company reports record ROM coal production from its thermal coal mines for FY2013 • Vlakvarkfontein Coal Mine achieves 3rd successive year of record thermal coal production, thermal coal sales and earnings • Ferreira Coal Mine ROM production exceeds budget for FY2013 with costs 10% below budget and export coal yields at 72.0% • Penumbra Coal Mine development continues with surface infrastructure and twin declines completed and fully equipped

• Geotechnical work completed and implemented at Penumbra Coal Mine to allow operation to move towards ramp up to full production in current quarter • ROM feed from the Penumbra Coal Mine to the Delta Processing Plant increases 40% during the Quarter with export thermal coal sales increasing by 32% • Completion of the acquisition of the outstanding minority interests in Mashala Resources increases interest in key mining operations and development projects

BE Mining | 57

Abraservice Nederland

More than a

steel supplier COO of Abraservice Holdings, Michel Raets, and Sales Manager at Abraservice Nederland, Lars De Goede discuss the secrets behind Abraservice’s success, the role it is playing in creating a brighter future and Abraservice Nederland’s own contributions towards local and international growth

written by: Will Daynes research by: Marcus Lewis

BE Mining | 59

Lars De Goede and Michel Raets

Abraservice Nederland

A

European leader when it comes to the distribution of wear resistant and high yield strength steels, it is a hugely important belief within Abraservice that it should be seen to be more than just a supplier of such products.

Rather it has successfully fashioned itself into a specialised provider of its customers’ complete solutions, from the analysis of their needs to the supply of finished and machined parts, ready for assembly.

Part of the Jacquet Metal Service Group, Abraservice’s experience and technical knowledge ensure that it fully understands the needs of its customers and can offer support during quoting, following delivery and during service. It also acts as an advisor to the customers when it comes to selecting the right type of steel with the appropriate properties and during the processing phase.

These customers operate in a diverse range of industries and environments including power plants, yellow goods, steel production, mines and quarries, cement works, recycling, civil engineering and the chemical sector. What these environments do all have in common however is that in each of them the quality and durability of materials is paramount.

Abraservice today boasts a presence in more than ten European markets, including Belgium, Germany and the Netherlands, and employs over 230 people across these subsidiaries. “What makes the Netherlands a unique market to operate in is that it is a dredging country and what this inevitably means is that our focus here is on providing wear resistant and high yield steel to this

BE Mining | 61

market,” explains Lars De Goede, Sales Manager at Abraservice Nederland. “If you look at some of the core products that we sell, Creusabro for example, these are extremely well suited to this important market sector.”

Creusabro is a high performance wear resistant steel and Abraservice is the exclusive European dealer of this highly reputable metal. “The success of this product has contributed to much of our growth in recent times as we have been able to convince an increasing number of customers to switch from traditional wear resistant steels,” De Goede continues. “With an average wear resistance that is between 40 and 45 percent higher than conventional 400HB water quenched steel, Creusabro delivers these users significant cost savings over the life of use. It also lends itself extremely well to processes like bending and rolling, which is vital when it comes to its use in dredging tubes.”

Creusabro also possesses a rather special self-hardening quality that makes the product stand out from other wear resistant steels.

By being able to be delivered in a softer condition users of the steel benefit from the fact that the drilling and machining of the piece is a much easier, less time consuming activity. Once this is complete Creusabro then

reveals its last trump card in the form of its self-hardening qualities which strengthens the steel over the course of its lifetime.

Meanwhile, when it comes to high yield steels, Abraservice Nederland again supplies its customers with proven, reliable solutions that conform to international norms and standards. “Like our wear resistant steels, when it comes to high yield steels,” states COO of Abraservice Holdings, Michel Raets,

“We are always focused on the service that we provide, after all that word forms part of our name” 62 | BE Mining

Abraservice Nederland

Steel cutter in action

Dredging tube

“what we are always aiming In Raets’ opinion, the to do is create higher value for reason for the continued our customers in the form of steady growth of the business things like greater mechanical is down to several core properties, bending and factors. “For starters we are Employees working for always focused on the service shaping properties and Abraservice that we provide, after all impact toughness. In doing across Europe that word forms part of our so we further differentiate name. One of the ways we ourselves and our offering from that of our competitors.” are trying to make life easier The market environment that Abraservice for our customers is by providing, where Nederland finds itself in today is undoubtedly required, the material they need complete a challenging one, defined as it is by with holes drilled and welding, bending and increased competition and record low price rolling complete. This means that what they levels. Despite these conditions the company receive from us is a product that can be used has managed to again break the mould by straight out of the box, so to speak.” recording increased tonnage growth in the Even though the company has exceeded first half of 2013 compared to 2012. all expectations when it comes to its growth,

230+

BE Mining | 63

its success does remain tied to a number of external factors, for example the level of investment in public expenditures in the Netherlands and of course the performance of the steel works industry. The existence of blast furnaces across Europe plays an important role in Abraservice’s own performance, so one can imagine the negative effect that the

closing of no fewer than twelve in 2012 had on the company.

Nevertheless, there is room for optimism within the company. “We believe,” Raets says, “that even in the face of an environment that is very fragile we our strategy of bringing added value options to our customers and exclusive products to market will result in

“Throughout the group significant work is underway to improve Abraservice’s business and to guarantee its long-term success”

Bulk handling bucket wheel

64 | BE Mining

Abraservice Nederland

Offshore guide track with rotating tower

Abraservice remaining one of few suppliers of its kind to prosper going forward.

We are certainly of the opinion that our higher levels of knowledge, experience and production capabilities place us in a much better position today than other nondifferentiated players out there.”

After a 2012 that both Raets and De Goede openly admit to being difficult for the company as a result of business levels and the need to restructure the organisation accordingly, it is pleasing to find that Abraservice today retains the full support and confidence of its shareholders, confidence that has clearly been well founded what with the company now back

in the black in terms of profits and investing massively across the organisation.

“Throughout the group,” Raets concludes, “significant work is underway to improve Abraservice’s business and to guarantee its long-term success. Perhaps what is most important to note however is that unlike many other companies out there, we are not just hoping and wishing for better times to come, rather we are taking a leading role as actors in making this future a reality.”

For more information about Abraservice Nederland visit: www.abraservice.com/nederland

BE Mining | 65

company in brief Abraservice is Europe’s largest distribution network in high-strength and wear-resistant steels. If you choose Abraservice, that part of a large global group member, you can rely on the expertise and strength of an international brand.

Abraservice offers the widest range of highstrength and wear-resistant steels and the most advanced and exclusive solutions. Our experienced team offers complete solutions, from the analysis of your requirements to the delivery of a ready-made product.

Abraservice products and services are used by customers operating in various industries,

including steel production, mining, dredging, recycling, energy and more.

Please feel free to contact Abraservice, our European network is ready for you!

locations

Offices

• France • Germany • Austria • Czech republic • Belgium • Hungary • Italy • Netherlands • United Kingdom • Slovakia, Spain • Turkey

Head Office Rue Michel Jacquet BP61 FR-69802 SAINT-PRIEST Cedex Abraservice Nederland PO Box 930 NL - 3300 AX, Dordrecht T +31 (0) 78 890 20 91 F +31 (0) 78 890 20 95 E a.nederland @ abraservice.com www.abraservice.com/nederland

66 | BE Mining

abraservice nederland products

Applications

Wear-resistant steels • CREUSABRO® DUEL® • CREUSABRO® 8000® • CREUSABRO® 4800® • Abramax Mu • DURETAL 35 • ROC Mn • ROC 500 • ROC 400 • ROC 250 • COBRANOX 35 • COBRANOX 12

Metallurgy Steel production plant, non-ferrous metals, coking plant, foundry...

High-strength steels • IMEX 700 / S690QL • IMEX 960 / S690QL • IMEX 701 / S700MC

Food industry Farm equipment, forestry, fodder, sugar industry, dewatering, fish boat equipment...

Other steels • ABRATUBE 600 • ABRATUBE 400 • COR-TEN A

Services The Abraservice processing capacity and skill of our teams ensure supply of ready-to-use parts to meet your delivery needs.

We can offer the steel processed to your requirements, eliminating the need to find another subcontractor, thus saving you time and money.

You have only one partner for your whole project, who supervises the order until completion and beyond.

Cement industry Cement plant, brick yard, roof tile producer, limestone, dolomite, concrete, block mold manufacturer...

Mine and quarry Lead/bauxite, sand an gravel quarry, asphalt/ bitumen...

Chemical plants Chemical industry, mineral dryer, fertilizer...

Yellow goods and transport Yellow goods OEM, rail industry, boat building & repair, dredging, bulk harbor handling, storage, truck/body, snow-plough, tunneling system...

Energy Coal fire power plant, fan producer, industrial furnace, boiler maker, sorting/screening system...

Recycling Waste treatment, scrap iron treatment, glass/ paper

BE Mining | 67

A star shin

Commercial Director, Dimmie de Milander Group and how it is perfectly positioned to

written by: Will Daynes |

68 | BE Mining

Starlite Aviation Group

ning bright

discusses the strengths of Starlite Aviation o capitalise on future growth opportunities

research by: Jeff Abbott

BE Mining | 69

T

he Africa of the 21st century is often highlighted by the vast metropolitan cities that have been building up steadily to become centres of economic prosperity, yet the continents land is still home to a vast expanse of frontier land. It is on this land, particularly along coastal areas, that many of today’s most exciting oil and gas finds are being made. However, when it comes to operating in such areas, where logistical infrastructure is sometimes non-existent, it often calls for companies to rely on expert advice and local knowledge. It is here where companies like Starlite Aviation come into play.

Established in South Africa in 1999, the group has undergone an extended period of growth to become a multi-faceted aviation business offering a range of helicopter services on a worldwide basis. Such services include relief contract work, oil and gas, passenger and cargo transport, helicopter sales and charter, maintenance and pilot training.

“We began life providing purely disaster relief and support services,” explains Commercial Director, Dimmie de Milander.

“From there we expanded into supporting various non-governmental organisations before taking on several contracts for our aircraft on a longer term basis. Through a combination of this contract work and the income that we derive from our training school we were able to begin developing our ability to provide support to customers operating in the offshore oil and gas industry.”

The capital raised from its long term contracts also allowed Starlite to invest in its fleet of aircraft. “Every time we tie up an

70 | BE Mining

Starlite Aviation Group

aircraft to a contact we endeavour to use the money from that to make another aircraft ready to be put into service,” de Milander continues. “In many ways this keeps us one step ahead of the market as it often means we have aircraft ready to take on work as it becomes available.”

Starlite’s fleet today includes aircraft from

Aerospatiale, Robinson, Bell, Sikorsky and Eurocopter. “Traditionally,” de Milander states, “we have leant towards the use of Eurocopter aircraft, however what we previously possessed was a slightly older, ageing fleet. Whereas the costs associated with upgrading to a more modern aircraft would previously have made such a possibility

“The group has undergone a period of growth to become a multi-faceted aviation business offering a range of services on a worldwide basis” 72 | BE Mining

Starlite Aviation Group

Starlite currently operates 11 Puma helicopters

challenging for us, the fact that now we have virtually all of our aircraft tied into some form of contract we have the capital available to us to source new models.”

Starlite is proposing a major expansion of its activities over the next few years, which will place increased pressure on the capacity of its existing fleet. Accordingly it has embarked on a fleet renewal and acquisition programme to augment existing aircraft, and cater for a continued shift in demand for its aircraft to newer technology and heavier aircraft types.

Starlite recently signed an agreement to become the launch customer for Eurocopter’s new AS332 C1e aircraft. This new helicopter

is ideally suited to the medium-heavy utility market but could also be used to support oil and gas work. The AS332 C1e helicopter is the latest version of the popular Eurocopter Super Puma medium-weight helicopter.

While Starlite isn’t the largest of aviation businesses, de Milander is keen to point out that there is one particular characteristic of the group that allows it to compete with almost anyone in the world when it comes to supplying aircraft, and that is that it has proven countless times that it can operate along supply lines in some of the most difficult, challenging and unpredictable parts of the world.

“Whether our customers operate in the fields of oil and gas or high-end mining,

BE Mining | 73

or are involved in non-government agency programmes, they almost always eventually end up working in countries with almost no aviation support infrastructure present.

We have seen this in our work in places like Afghanistan, Pakistan, Kosovo, Myanmar, South Sudan and Mali, to name a few locations, and it has always been our focus to be able to provide these clients with safe, reliable support in these regions.”

Whereas the larger corporate helicopter suppliers tend to have a much more risk adverse approach to business, Starlite has always been found to be prepared to judge each situation and scenario by its individual merits before seeing how it can be of service to a client.

That is certainly not to suggest that safety isn’t the most paramount of issues for Starlite, in fact quite the contrary. “Safety has been,

“Today the group’s talent for delivering services in some of the most remote parts of the world, let alone Africa, continues to shine through”

Pilots carrying out preflight checks

74 | BE Mining

Starlite Aviation Group

The Bell 412 reliably performs in the most extreme climates on the planet every day

is and always will be the “It was during the course of one of its tasks that the most important aspect of aircraft in question suffered our business,” de Milander an engine fault in a location enthuses. “Through the approximately ten kilometres operations of our training The year that Starlite from the nearest civilisation,” school we are able to was established in handpick the very best pilots he recalls. “In response to this South Africa for employment and these we organised for an engine to be sent from America to are invariably those with a that location, the necessary huge degree of experience, often gained through military service.” changes were then made and after just six The skill and capabilities of Starlite’s pilots days the aircraft was back flying again. and crew have been displayed countless times Understandably the client in question was in its lifetime. One particular example of this very pleased at the short amount of time that sticks out in de Milander’s mind involved required to remedy the situation and Sikorsky on of the group’s Sikorsky S92 aircraft which themselves stated that they doubted there are was providing offshore support for a client many other companies out there that could based off Namibia’s infamous Skeleton Coast. have handled such an issue so quickly.”

1999

BE Mining | 75

The Bell 212 Twin Huey on Jasper deck

Starlite Aviation Group Today the group’s talent for delivering services in some of the most remote parts of the world, let alone Africa, continues to shine through. Again in Namibia Starlite aircraft can be found operating in Lüderitz, along the south-western coast of the country. It is here, in one of the least hospitable coasts in all of Africa, that it has managed to retain a 99 percent dispatch rate of on-time deliveries.

With offshore oil and gas activity increasing at a considerable rate along both the western and eastern coasts of Africa it is significant that those within Starlite are confident that it is well positioned to provide the types of services that will be in even greater demand going forward.

“I believe that when you consider the growth of the oil and gas industry, our own position in that market and the fact that we have now proven capable of funding the addition of new aircraft into our fleet, it becomes clear that our primary mission need to be to continue delivering above expectations,” de Milander says. “There is such huge potential throughout the continent right now and it is our aim to be at the centre of that, capitalising on the opportunities that will arise. In targeting this we have been forming a number of strategic relationships in key locations such as Namibia, Tanzania, Kenya and Ghana, and in doing so we are making sure that Starlite will be wherever its clients need us to be in the years to come.”

For more information about Starlite Aviation Group visit: www.starliteaviation.com

BE Mining | 77

company in brief Starlite Aviation Group is a multi-faceted aviation company that offers a range of helicopter services on a worldwide basis, through head offices in Ireland and South Africa. Starlite supplies a range of aviation services including: relief contract work, oil & gas, passenger and cargo transport, helicopter sales and charter, pilot training, aircraft management, training & maintenance, component overhaul and the supply and distribution of aircraft parts and support equipment.

The company was established in South Africa in 1999. Since that time, the Group has experienced a period of phenomenal growth.

To cope with the ever-expanding global growth pattern, Starlite Group has been split into a number of separate companies. Starlite operated aircraft are currently registered in South Africa, Ireland and the USA. Starlite Aviation Operations (Pty) Ltd. in South Africa and Starlite Aviation Ireland are the main licensed aircraft operators for the group and are responsible for providing the majority of flying services in the international theatre.

Operations are ably supported by Starlite Maintenance, a dedicated Aircraft Maintenance Organisation that provides all maintenance and logistic requirements for all of the aircraft operated by the company. The Group’s main maintenance centres are located in Johannesburg and Durban. Starlite Aviation Group has a large training organisation in Mossel Bay, South Africa. Highly experienced instructors, with over 70 000 combined operational flying hours and more than 130 years flying experience, form the basis of the expertise at Starlite Training School.

Starlite Aviation Group also has a specialised sales branch. Starlite Sales deals in all makes of helicopters and fixed wing aircraft but specialises in Robinson Helicopters, for which it is an approved Dealer and Service Centre in South Africa.

offices Durban, South Africa Hangar 123 Virginia Airport Durban North 4051

Dublin, Ireland 2nd Floor, Europa House, Harcourt Centre, Harcourt St, Dublin 2

T +27 (0) 31 571 6600 F + 27 (0) 86 502 3307

T +353 1 4110026 F +353 1 4110028 www.starliteaviation.com

78 | BE Mining

starlite aviation group Training

MAINTENANCE

Role in Group To mobilise our shared know-how, expertise and passion for helicopters and provide a suite of commercial pilot training courses, both core and advanced, to support and grow the sale of Robinson Helicopters.

When it comes to the stringent requirements of pilot and passenger safety, the maintenance of aircraft is probably the most important component in the delivery chain. Its the vital service that forms the backbone of Starlite’s efficiency, and requires that aircraft are delivered to the customer in a fully airworthy condition.

Maintaining an aircraft, especially a helicopter, is an extremely personal vocation. As a result, the Starlite maintenance team will take care of it as its own.

The management and staff of Starlite Maintenance Johannesburg are driven by customer satisfaction and unsurpassed safety and service standards.

Purpose • Focus on providing military standard aviation training and consulting services using military experienced instructors • Ensure that all instructors are kept current through regular operational endeavours and continuous exposure to the latest training trends internationally • Provide a full suite of ab initio and specialised courses to military, paramilitary, commercial and institutional sectors, globally • Retain support of an international network of partners that allows access to leading edge training equipment, methods and technology • Keep our helicopter fleet and other training apparatus on par with the latest available military and civil equipment • All training practices, personnel and media are governed by and regularly audited according to the Starlite quality management system • Continuously develop Ground School and Flight Training syllabi, according to the military and civil criteria available

sales Starlite Aviation Group deals in all makes of helicopters & fixed wing aircraft, but specialises in Robinson Helicopters, for which it is an approved Dealer & Service Centre in SA. Robinson Helicopter Company is the world’s leading producer of civil helicopters and is known worldwide for high performance, reliable helicopters. The R66 delivers turbine power, performance and quiet comfort at a lower cost. This new five-seater makes the R66 the ideal helicopter for private, business and utility applications. The four-seat Model R44 is the world’s most popular helicopter, and the twoseat Model R22 has the lowest acquisition and operating costs of any production helicopter.

BE Mining | 79

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special report

zambia

energy & resources produced by:

in association with:

Encour economic em

President of the North Western Chambe Mathias Mutupa discusses the developme home to some of today’s mos

Wil Research by Richard Half Words by

82 |

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Interview

raging empowerment

er of Commerce and Industry (NWCCI), ent of Zambia’s North-Western Province, st exciting mining operations

ll Daynes hide & Vincent Kielty Special Report

| 83

Interview

H

istorically the most sparsely populated province in Zambia, the North-Western Province is in the midst of something of a social and economic revolution, one that has been propelled forward by the activities of some of the biggest mining ventures in the country.

These include Barrick Gold’s Lumwana Mining Company, First Quantum Minerals’ (FQM) Kansanshi Mine and now the latter’s Trident development.

One person who has witnessed this revolution up close, and who understands what this means for the region as a whole, is Mathias Mutupa, President of the North Western Chamber of Commerce and Industry (NWCCI). Under his leadership, and in the last four years alone, the NWCCI has seen its membership swell by some 400 percent to close to 300 affiliated companies, something that has not been lost on him or indeed on the rest of the nation.

“We are immensely proud of the close working relationships we have cultivated with the likes of FQM,” he states. “In the last four years in particular these relationships have resulted in the NWCCI becoming the largest business organisation associated with the Zambia Chamber of Commerce and Industry, and more importantly has been the catalyst for an unpredicted rise in business opportunities for small and medium sized enterprises (SME’s) in the region.”

One doesn’t simply have to take Mutupa’s word for this growth as the economic figures are there for all to see as well. In the first six months of 2013 the Kansanshi Mine alone created $40 million worth of business for the NWCCI’s members in the form of various transactions including tendering for construction works and the supply of services and consumables. What makes this colossal figure all the more impressive is that it is from just one source. The true total is much higher considering the many other developments occurring throughout the Province.

“In addition to the obvious achievements it is making in the field of mining,” Mutupa continues, “FQM is doing great work in providing business opportunities to our member companies and in the process it is contributing significantly to the growth of the North-Western Province. This has caused the rest of the country to sit up and take notice and SMEs from the length and breadth of Zambia wanting to come and get involved with what is happening here. Through the collaborative efforts of ourselves and the mining companies we are working non-stop to build up the private sector in this part of the world, while at the same time create a strong local supply chain for products and services, and ultimately creating a wealth of employment opportunities for Zambians.”

It is the positive social and economic

“In the last four years alone, the NWCCI has seen its membership swell by some 400 percent to close to 300 affiliated companies” Special Report

| 85

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Interview

development of local Zambians that is at the heart of the vast majority of things that Mutupa and the NWCCI are trying to achieve. It is for that reason that the Chamber takes great encouragement from the number of corporate social responsibility (CSR) programmes that FQM and other miners have enacted.

“The concept of CSR of has taken on a greater deal of significance than ever before in recent times and I myself have always been a firm believer in the principles behind it and the benefits that it brings,” Mutupa enthuses. “All of us here at the NWCCI are highly tuned into what makes a responsible mining operation and how the continuing commitment of businesses to behave ethically helps to contribute towards economic development and the bettering of the lives of local communities and society at large.

We know that in today’s environment such values cannot be marginalised and therefore it pleases us greatly to see so many examples of how companies based in the North-Western Province are rising to the challenge and helping to make a positive difference.”

Given the status of NWCCI’s relationship with the mining companies in the region it should be pretty obvious why Mutupa is confident that it can only go from strength to strength in the years ahead.

“The foundation that we have all helped lay is very strong and built on top of it is a collective desire to see the private sector in the North-Western Province continue to develop. The work occurring here today is creating new growth opportunities for our members and thus greater employment opportunities for local Zambians. We are seeing the growth of communities take place right before our eyes and this gives us great confidence that the future of this region is in very good hands.

The development of the Trident project as well only adds further to our confidence in the future growth and prosperity of this part of the world, both socially and economically.”

Contact us For more information about North Western Chamber of Commerce and Industry (NWCCI) chesterfieldsmining@gmail.com

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Executive Insight

Randy Findlay Randy Findlay, Sentinel Project Manager, discusses his involvement with the Trident project’s flagship Sentinel mine development, his proudest achievements and what others can learn from the success of Trident Words by

Will Daynes

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| 89

Career wise, how did you come to be a part of First Quantum Minerals?

After ending a five year retention based contract with Fluor I had a keen desire to find a company that could offer a better place in which to achieve my long term goals. With three other offers on the table from Kazakmys, Newmont and Fluor, I was contacted by First Quantum Minerals Limited (FQML), upon which I began researching the FQM execution philosophy. What I found was that FQM was unique in that it managed the engineering, construction execution and commissioning phases, before then turning things over to its operations team. It was this that convinced me to join. These dynamics are extremely rare in this industry and what they do is allow me, as a Project Manager, to drive the entire process optimally.

Who has been your inspiration professionally?

There have been a number of people, each for different reasons, but the two that stand out to me are Bob Ellis, Capital Vice President of Duke Energy and Martin Lacey, who is Vice President of Camaco Mining.

What do you consider to be your major achievement (in life or business)?

That would be the development of a target approach towards contracting methodolog y. This incentiv ised approach to contracts puts the mine owner and contractors on the same side of the field, with time and costs acting as the opponent.

When did you first become involved with the Trident project and what were your first impressions of its scope and aims?

I consider myself the initial developer of the Sentinel project construction team execution plan. The key to this plan was the development of a strong schedule, team mentoring and development, providing competent job descriptions and site management behaviours in order to reduce construction time and costs. The overall goal was to develop Sentinel to add revenue stream to the company much earlier than was originally envisaged.

The entire package with town development, housing and commercial areas, schools, banking, shops and power reticulation, meanwhile, is a key

“I consider myself the initial developer of the Sentinel project construction team execution plan. The key to this plan was the development of a strong schedule, team mentoring and development�

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Executive Insight

“Aside from pulling the construction schedule for completion ahead by three months we are also incredibly proud of reaching seven million man-hours without a lost time accident� deliverable to retain labour long term with minimal cost to operations and, most importantly, create a positive effect on the development of Zambia’s Northwestern region.

What do you consider to be some of the bigger milestones reached on the project?

Aside from pulling the construction schedule for completion ahead by three months we are also incredibly proud of reaching seven million man-hours without a lost time accident and, of course, developing a team that has proven to be able to provide excellent bench strength for projects.

What lessons do you think other mine operators can learn from the Trident project?

That schedule and resource development, with frequent, positive and purposeful interaction, provides the best foundation for project execution.

What do you personally hope will be the long-lasting legacy of the project?

I hope that people on the team feel they have accomplished the best project of

their careers and were part of a team that consistently worked together to achieve excellence.

Which one piece of wisdom would you pass on to your successor?

Always think about what else you can do to gain progress and maintain quality, treat people fairly and spend the time needed to develop and support your team.

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the vital statistics Area 752,618 km2 Population 14,309,466

Capital Lusaka

official language English

currency Zambian kwacha (ZMW)

Copper output in Tons 1,000,000 600 800,000 500 600,000 DKK millions

400

400,000

300 200

200,000 100 0 2009

92 | special report

2010

2011

zambia at a glance

Did you know?

Copperbelt region

65%

Of all the copper mined in Africa comes from Zambia

Main export partners

China

Export goods • copper/cobalt 64% • Cobalt • electricity • tobacco • flowers • cotton • copper cables • Maize • Sugar

42.2%

South Africa 7.2% DR Congo 7.2% South Korea 5.3% India 4.5% Egypt 4.5% UAE 4.4% others 24.7

special report | 93

John Gladston, Trident Resource Optimisatio of the Trident project, the largest single inves

written by: Will Daynes | re

94 | special report

FQM - Trident project overview

on Manager, discusses the history and growth stment project that Zambia has ever witnessed

esearch by: Richard Halfhide

special report | 95

Mill area under construction

FQM - Trident overview

T

rident represents the biggest single project investment in Zambia that has ever occurred, totalling some $2 billion,� states John Gladston, Trident Resource Optimisation Manager. “As is typical of First Quantum, the project is going great guns and is progressing on-time and to budget.�

The initial two mines at Trident are the Sentinel low grade copper mine and the Enterprise nickel mine. The Sentinel processing facility of the former will have a target throughput rate of approximately 55 million per annum of ore at an average grade of 0.5 percent copper. It is estimated that the mine will ultimately provide an annual production rate ranging between 280,000 and 300,000 tonnes of copper.

The Sentinel plant itself will comprise three in-pit crushers delivering to a crushed ore stockpile providing a live capacity of 80,000 tonnes. Two milling trains, each comprising a 40 foot (28MW) SAG mill and a 28 foot (22MW) ball mill, will produce a final grind of 80 percent passing 212 micron for flotation. Four banks of rougher-scavenger flotation cells, each utilising seven cells of 300 cubic metres capacity followed by three stages of cleaning will provide a recovery of over 90 percent, into a concentrate of about 24-26 percent copper. Tailings will then be thickened in three metre by 50 metre diameter thickeners prior to discharge to the tailings storage facility.

A secondary crushing circuit is being installed to maintain the mill throughput to offset a harder ore in the deeper areas of the pit. This circuit will initially comprise two

special report | 97

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With our own teams of highly qualified and experienced vulcanisers, we can undertake all hot, cold and mechanical joints, provide conveyor maintenance contracts and on-site splicer training. To complement our conveyor belt services, we supply a durable range of vulcanising presses, electric or diesel belt winders and belt stands, along with splice kits and all tools and equipment for in-house vulcanising teams. We also manufacture Material Handling Systems including design, installation & commissioning, from overland conveyors to waterside loading systems.

Our experience is offered in the re-design of existing conveyor layouts, and the supply of conveyor struture and radial stacker systems, along with drums, rollers and take-up units.

As well as conveyor belting we supply the highest quality precision engineered crusher

spares for Primary, Secondary and Tertiary machines including Symons Nordberg, HP and MP series, Svedala, Omnicone, Telsmith, Sandvik, Allis Chalmers, Terex Cedarapids and Parkers. Vast stocks are held of common replacement parts that we can ship direct to site anywhere in the world. Through our Engineering Services, we can also provide strip down and re-build services for crushers on scheduled shutdowns or assist with emergency breakdowns. Our Consultancy & Advisory Service can assist with planning a new mine or extending an existing site, our skilled engineers can provide you with advice on any aspect of your project.

Our involvement in the First Quantum Minerals projects at Kansanshi Mine and Kalumbila Minerals supplying conveyor belting and technical assistance has only added to our experience. Whatever your site requirements are, you can rest assured that MES International has the knowledge and experience to be your first choice preferred supplier for your conveyor belting and crusher needs.

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BE WEEKLY | 1

FQM - Trident overview

Process plant construction team

large cone crushers with the ability to add circuit was approved by First Quantum in more crushers at a later date. The crushers December 2012 and first concrete is expected will treat a portion of the ore feeding the to be poured shortly.

Elsewhere, First Quantum is also stockpile, crushing the top size to below 40 millimetres. A pebble crusher will also constructing a new $630 million copper be installed to crush pebbles smelter in Solwezi. This ejected from the SG mills down facility will accommodate the to below ten millimetres, to copper concentrate output minimise critical size build from both the Kansanshi mine and Trident. up in the milling circuit. “ To d a y,” Gladston

By June 2013 over 50,000 cubic metres of concrete had continues, “we are employing Local Zambians currently been poured and well over approximately 2,000 people employed to work 700 tonnes of steel installed. across the project, 1,700 of on the project whom are local Zambians.

The Enterprise processing

1,750

special report | 101

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We believe that our success is built on understanding the markets in which we operate and not compromising on safety standards and regulations.

Our manufacturing base has grown incredibly through our flagship brand ProSafe and coupled together with our manufacturing partners, we are well positioned to be a powerhouse in the SADC region. www.amalgamated-dress.com

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amalgamated With its head office located in the heart of Copperbelt Province, Amalgamated Dress is strategically positioned to serve the needs of the mining industries across Zambia and is one of the leading manufacturing companies of workwear and PPE in Zambia. Established in 1976, it secured a running contract with ZCCM to manufacture overalls at its local manufacturing plant in Ndola. To this day, the factory still runs successfully, providing high quality specialised workwear to the mining, drilling and construction industries. All products comply with international standards and specifications. Over the years, the company has taken leaps in expanding its products lines to supply the full range of PPE through its manufacturing partners essentially becoming one of the only one-stop solutions for PPE in the country. It has now expanded its own

manufacturing base to include protective gear such as gloves, earplugs, safety glasses and respirators under its flagship brand, ProSafe.

Amalgamated Dress continues to be a major supplier to First Quantum Minerals (FQM) in Zambia and has had the privilege of holding the contract for workwear at Kansanshi Mine since operations began. The company has a long-standing relationship with FQM due to its excellent service, impeccable quality and competitive pricing. At present, Amalgamated Dress is actively involved with the Trident and Sentinel projects and aim to be the leading supplier of choice when it comes to workwear solutions and PPE. E. sales@amalgamated-dress.com www.amalgamated-dress.com

specialBEreport WEEKLY| 103 |2

Proud to be associated with Trident

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GIANTS IN COPPER MOVEMENTS

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adipisicing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua.

Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat. Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur. Excepteur sint occaecat cupidatat non proident, sunt in culpa qui officia deserunt mollit anim id est laborum. Lorem ipsum dolor sit amet, consectetur adipisicing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim Flotationveniam, area assembly quis

MINING HAULAGE COMPANY LTD Mining Haulage is a Private Limited Company wholly incorporated in the Republic of Zambia, established in 1973. It is a transport service and equipment hire company with a current maximum fleet of 60 Freightliner, 30 Ton Tipper Trucks, 5 wheeled Front End Loaders – CAT972H, 140H Graders and 330 LME Excavator.

• Mining Haulage Company Limited has vast experience of operating in the transport industry and it competes favourably in the market as a reliable giant in copper movement.

Our pricing is consistent and within the reach of our clients economic power.

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specialBEreport WEEKLY| 105 |2

FLOWCRETE As the world’s leading specialist flooring company with manufacturing plants across Europe, the Americas, Asia and Africa, a global commercial and sales support team and the backing of a major multinational manufacturing group, we are well placed to provide the same high standard of product and service across the globe.

Our research and development laboratories are constantly innovating new products and improving existing ones to ensure that our clients benefit from the best in modern flooring technology.

Our commitment is to pioneer greener flooring products that adhere to our

policy of environmental protection as well as introducing automated installation methods that keep us at the forefront of our industry.

Our international client base is spread across a diverse range of market sectors and includes blue-chip brands such as NASA, Lufthansa Technik, BAA, NestlĂŠ, Kraft, Coca-Cola, AstraZeneca, GlaxoSmithKline, Jaguar, Bentley, BP, LG and Sony as well as Wembley Stadium, O2 Arena and Dubai, Kuala Lumpur and Hong Kong International Airports.

E. southafrica@flowcrete.com www.flowcretesa.co.za

FQM - Trident overview

50m diameter tails thickeners

shovels and three Komatsu we placed these individuals PC5500 shovels. Each of the on an intensive simulator 960E trucks will carry in training course, which the region of 360 tonnes and required them to complete 40 hours of training before even cost around $6 million each getting into the vehicle itself. to manufacture.

“Obviously we need It is an incredibly thorough people to operate these programme, but one that Cost of the new copper smelter being means we end up with highly vehicles and these have to built in Solwezi skilled, and most importantly be individuals who display the aptitude to operate such Z a m bi a n , op e r at o r s hugely expensive pieces of working in the mine.” engineering,” Gladston explains. “What we To assist in the work being undertaking have done to address this need is to embark during the construction phase of the project on a very intense screening process to attract the company also recruited a small number people with the right aptitude. Once selected of experienced Filipino and Indonesian

$630 million

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Harsh conditions deserve rugged solutions Efficient and reliable ZM oil-free multistage centrifugal blowers (pressure and vacuum) • Custom-engineered for your specific applications - Thanks to the innovative design and flexible configuration options, the ZM multistage blowers offer you increased efficieny in a wide range of mining applications • Technology you can rely on - A rugged design which has proven itself in mining applications for many years.

• Ease of maintenance - easy accessible maintenance points and basic repairs conducted in a minimim of time Find out more on www.efficiencyblowers.com.

Atlas Copco Zambia Ltd, Kitwe Office - Compressors, P.O. Cox 28091, Off Nyerere Road, Light Industrial Area, Kitwe, Zambia Email: atlas.zm@atlascopco.com

CONTEMPO LTD Contempo LTD is a private limited company situated in the heart of the ‘friendly city’ known as Ndola, in central Zambia. Over the years Contempo LTD has established itself as a leading supplier to the locally based mines in Zambia and extending to Congo DRC. Our strengths lie in; 100% reliability on genuine products and prompt deliveries - leading to formidable trust and loyalty with buyers.

Our product range includes: • Executive office furniture • Electrical items • Hardware items • Plumbing items • Stationery • Camping equipment • Catering equipment • Home furniture • Mining consumables 82 Matelo Road, Ndola, Zambia Tel +260 212 612417 | Cell +260 966 808575 Email contempo.ltd@zamtel.zm or contempo.ndola@gmail.com

FQM - Trident overview const r uc t ion workers.

Atlas Copco Zambia “These individuals come Atlas Copco’s Zambia Compressor Technique division is equipped with skills sets that very proud to be associated with the Trident project and the we were not able to source First Quantum Group. in Zambia,” Gladston says, The air compressors and associated equipment that Atlas before going on to highlight Copco provides for the Sentinel project supply both plant the real benefit of bringing and instrument air around the entire plant. This includes for the operation of pneumatic process valves and gates these workers in to the up to 550mm in diameter, air tools and various process project. “What we are doing instruments and gauges around the site. is ensuring that there is a The equipment supplied includes the well-known GA rotary complete transfer of skills screw design, three units of model GA 355 compressors, to our Zambian employees. heatless desiccant dryers, allied filters, water separators This extends to a whole and air receivers. ES 6 lead lag controllers are all supplied range of areas and trades, in order to manage the plant’s energy consumption.

Similar Atlas Copco compressed air equipment including be it a boilermaker, highseveral centrifugal air compressors is being supplied to end electrician or steel and First Quantum Minerals Kansanshi Mine Smelter project concrete worker. Each and www.efficiencyblowers.com every day we are witnessing this transfer of skills and watching as young men and women gain talents that they will possess for the rest of their working lives. Again, we prefer not to use foreign contractors: this way the skill transfers stay in Zambia.”

During the construction phase at Trident, First Quantum anticipates that local unskilled employees will be able to learn further employment skills, and this will help prepare them for selection processes when the mine comes in to production.

In preparation for the Trident project, First Quantum signed a multi-million dollar partnership agreement with the Ministry of Science, Technology and Vocational Training to build a new Technical Training Facility.

With the project underway exceptional Zambian employees at Trident have the Crusher construction

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JAIDS Since its creation in 2000, Jaid’s has grown steadily with the town of Solwezi.

Jaid’s is now a one-stop-centre for all your household, stationery, hardware, electrical, automotive and construction needs. We represent major brands in most of these departments. With a current stock count of over 6000 product lines in-store, we are able to supply or source products for our customers in a timely and efficient manner.

We have seen the needs of our customers change as Solwezi town continues to grow, while the demand for our reliability and customer service remains. As a result, Jaid’s has diversified into construction and plant hire, having since secured and completed projects for clients including governmental organisations, Kansanshi

Mining PLC and FQMO. We also own two ready-mix batching plants to cater for all your concreting needs. As a well established and reputable company, we are aware of our social responsibility to the people of Solwezi. Jaids has helped with fundraising and donation of goods for numerous events in the region including funding to revamp the local cricket field.

We are proud to be associated with First Quatum Minerals and wish them every success in the future. Jaid’s shares a cordial and longstanding relationship with FQMO and we would like to offer our services every step of the way forward.

E. jaids@zamnet.zm www.jaidsgroup.com

• Hardware and tools • Safety gear • Motor vehicle oils and lubricants • Automotive spares and tyres • Construction machinery and equipment

Jaids wholesalers has been in existence since 2000 and has since become the leading supplier of all the following products within Solwezi: • Household goods • Office and home furniture • Beddings • Domestic and consumer electronics and electrical goods • Stationery and office equipment • Computers (software and hardware)

Our vast experience of trading in the region has helped us remain at the forefront of wholesaling and retail trading in the Solwezi area. With core values based on quality, reliability, customer service, Jaid’s has a list of satisfied customers, which include the three main major mines within the Province, regional Chiefs, NGO’s and the local trade.

Jaid’s wholesaling and retail trading limited.

Tel: +260218821371 E-mail: jaids@zamnet.zm www.jaidsgroup.com

W H E R E Q UA LI T Y M AT T E R S …

FQM - Trident overview

Mill area progress - second shell section being lifted into position

“What we are doing is ensuring that there is a complete transfer of skills to our Zambian employees” opportunity to be enrolled on First Quantum’s Accelerated Development Programme. In addition First Quantum provides scholarships for exceptional Zambian school leavers.

Currently, 17 Zambian students receive scholarships to the University of Zambia and the University of Cape Town at a cost of $10,000 per year.

First Quantum is fully aware that what it is undertaking with Trident is ground breaking for Zambia and thus it has always anticipated that it would encounter legislative gaps and that is something that it has had to navigate around. “Such navigation requires patience,” Gladston highlights, “and we have that in abundance. Nevertheless, when it

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CRAFTOR TRUCK CENTRE LTD IS AN AUTHORISED DEALER OF IVECO SOUTH AFRICA AND ALSO A FULLY FLEDGED ASTRA HEAVY DUTY TRUCK DEALERSHIP We are Suppliers of the following state of the art technology and design in passenger transport: • IVECO and ASTRA medium commercial vehicles • IVECO and ASTRA heavy commercial Vehicles • IVECO and ASTRA extra heavy commercial vehicles.

• Fleet requirements of all commercial, transport, construction, mining, or logistic companies.

• Our Workshop and Breakdown Facility is well equipped with a 5 ton overhead crane and “Easy Diagnostic Equipment “.

• Tooling for IVECO Cursor engines • Countrywide 24 hour emergency breakdown facility • Fully equipped standby vehicles • Trailer Maintenance and Repair • Spare Parts Facilities • Day servicing on a pre-booking system • Wheel Alignment for horses, trailers, cars and buses Contact us on telephone number: +26 0212 650 676 Email: Robert.truckcentre@gmail.com or kay.truckcentre@gmail.com

FQM - Trident overview comes to getting things done we always look to move As the exclusive distributor for Komatsu, Sandvik, Bomag, quickly when the time is right Cummins and Tecnogen in Benelux and in West and Central and we do so decisively.”

Africa, BIA is the right solution for mining, quarrying, In order for this approach forestry and public works projects. to be as successful as possible On the strength of its long experience, BIA is proud to be First Quantum ensures the only distributor of premium brands which is able to give its clients a complete solution to guarantee the best that it actively engages productivity at low operating cost. Because each client is with all relevant parties, unique and each project is specific, BIA offers to its clients from local communities to a tailor-made approach. government ministers and BIA experienced engineers are there to guide the customer agencies to forge strong from the earliest stages. By planning, organizing and relationships and allow them controlling specific resources, BIA gives its clients to see and understand the confidence to make their project real and efficient. www.biagroup.com positives that this project can and will bring to the region.

“I strongly believe that the government of Zambia understands that the employment and investment opportunities that we are presenting with the Trident project are and will be hugely beneficial for the country as a whole,” Gladston says.

“By the time we are fully operational it is possible that, on top of the 2000 jobs we already provide, and depending on the multiplier effect to the local community, there could be as many as 8,000 spin off in direct employment opportunities.”

Of course, as Gladston highlights, there is

BIA

$10 thousand Cost per year provided to the University of Cape Town for scholarships.

Checking core samples

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DESIGNED BY INDUSTRY EXPERTS FOR INDUSTRY EXPERTS Copper mining has its own unique hazards; that’s why we have re-engineered the Neoflex to suit the operations of First Quantum Mining and other similar companies. You see, we always work on the understanding that wearing the wrong type of safety footwear can be as dangerous as wearing no footwear at all.

We thoroughly examine work environments to engineer products specifically to provide the best protection in those conditions. Our specialist approach has resulted in a range of over 60 varieties of safety footwear.

Designed in conjunction with Mining Industry experts, the redesigned Neoflex is a specialist boot for the unique challenges facing workers in the Copperbelt region.

Featuring a PU/Rubber sole with heat

resistance up to 300 degrees Celsius, the Neoflex is also highly resistant to acids and chemicals. A built-in Kevlar midsole meanwhile shields feet against sharp objects. Whatever way you look at it, this feature-packed boot offers all-round protection for Copper Mining professionals.

It’s a dangerous world, make it safe with Beier Safety Footwear.

For detailed product specs and to order, contact: CG Zambia, Shop no 24, Copperhill Shopping Centre, Kitwe E.

cgilbert@microlink.zm jgilbert@microlink.zm Tel: 096 677 8345 | 096 655 3600

FQM - Trident overview

The project management team

much more to Trident’s contributions to Zambia than just employment. “By the time we are operational we will be contributing revenue to the country in the form of royalty and profit taxes, the proceeds of which will go directly to the Zambian exchequer providing a much needed boost to the economy.”

In addition, First Quantum is developing a properly planned and fully serviced town for the habitation of its workforce at Trident.

The town will lie outside the mining lease and be open to investment for Zambian and other third parties. “It is difficult to attract Zambian talent to North Western

“I strongly believe that the government of Zambia understands the employment and investment opportunities that we are presenting with the Trident project” special report | 115

UFFE supply and install Extinguishers, Hose Reels, Hydrants and Foam/Sprinkler Systems as well as Fire Alarms, Detection, CO2, FM200 and Inergin Gas Suppression Systems, not forgetting the famous Mantech 90 map Powder and Foam System.

Lusaka Branch: Moobola Road Chinika Indst Area LUSAKA Tel/Fax +260 211 286356

Copperbelt Branch: No. 1 Harrison St Nkana West KITWE Tel/Fax +260 212 230796

e-mail: uffe@iconnect.zm / unifire@iconnect.zm

FQM - Trident overview Province, because housing Universal Fire Fighting Equipment Ltd and schooling are limited,” Universal Fire Fighting Equipment Ltd is a pathfinder in fire Gladston states, “so we are engineering and safety in Zambia. Since establishment constructing new and better in 1986 we have maintained the fire safety standard as facilities. We have no desire to can be seen by our presence in the Mining Power Houses. become property developers, Our involvement with Kansanshi dates back to 2006, rather we believe that our when we first introduced our Heavy machine on board fire suppression system, Zambian workers should Since then there has been no reports of failure on our systems. own their family home, as U.F.F.E. Have supplied and maintain over 100 automatic this will provide them the detection and fire suppression systems in F.Q.M. alone. collateral and the opportunity We operate a 24/7 back up service for F.Q.M. and many to save and create wealth.” other mines and companies in the Copper belt.

First Quantum is also We proudly boast that 43 of our 45 staff are Zambian, who applying for a Multi Facility have been trained by experts from overseas or have gone outside of Zambia for the special extra training required.

Economic Zone at Trident We can openly state that U.F.F.E are not only the largest but to attract retail, commercial the most professional fire company in Zambia. and light industrial unifire@iconnect.zm companies to invest in the town. “It is part of effort in developing local business and local procurement that we are encouraging businesses to establish at Trident, and we believe development of such secondary and tertiary industries will leave behind a truly sustainable town and region,” says Gladston.

“development of secondary and tertiary industries will leave behind a sustainable region”

Re-settlement school

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www.genesis-group.biz Genesis Office Systems is a Zambian registered company and was introduced as a distributor of computer networking equipments.

We supply award winning brands of computer hardware and software, fibre optic cables, broad band and wireless technologies, Vsat installations, networking accessories for both LAN and WAN working environments.

Seen CHALLENGE STATIONERS LIMITED

Stationery Importers & Distributors 1723 Buteko Avenue, P.O. Box 70264 NDOLA Phone: 0212-612232 / 612491 Fax: 0212-615030 / 613298 Email: challenge@zamtel.zm

“THE STATIONERS WHO SERVE YOU BETTER”

Contact us today and put your company in the spotlight!

vincent@bus-ex.com

FQM - Trident overview

Sentinel project office

Further to its investment at Sentinel, First Associated investment in roads, airports Quantum’s Trident project and Solwezi smelter and other infrastructure is expected to will catalyse further infrastructure development provide further development opportunities. in North Western Province. First Quantum Trident itself is located some 150 kilometres is partnering with ZESCO Limited, the state by road from Solwezi on the main T5 power utility, to build 600 kilometres of 330kV road to Mwinilunga. In order to improve transmissions through the access to the project a new Western Corridor of Zambia.

30 kilometre all-weather The Kalumbila transmission road is to be developed to the mine and town. line project is of enormous strategic benefit to Zambia as a In future years an access whole, further opening up the road will also be constructed Estimated yeild to be western provinces of Zambia to link to the Enterprise mine, produced in tonnes of to rural electrification and which will subsequently be copper per year improving power security. used to haul ore back to the

300,000

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Kameela Kameela Furnishers P.O.Box 70289, Ndola, Zambia. | C18 Vitanda St, Ndola, Zambia Tel/Fax: 260 2 613731 | E-mail: kameela@kitwe.microlink.zm

Kameela Furnishers is a small 100% Zambian company involved in making solid wood furniture. Our products are made in pine, saligna and teak so that it caters all budgets.

Currently, the mines are purchasing our furniture for their offices and homes.

Furnishers We have a fully equipped sawmill, carpentry workshop, display showroom.

This enables us to cut a standing tree and process it into a finished furniture product.

We have established import connections and import some of our input requirements and a selected range of office chairs.

We won the best furniture award at the Zambia International Trade Fair (98).

We have a good reputation and many of our products have been indirectly exported worldwide by customers.

Our customers are: International organizations and reputable local companies.

First Quantum Mining Group. WHBO, Indeni Petroleum, Afrox, Zampost, SGS Inspection Services, SDV, Boart Longyear. etc.

Durable Quality, Easily Available Furniture for Offices and Homes

FQM - Trident overview

Stockpile pylon concrete placement

“Our success to date is rooted in the talents and commitment of our employees, particularly our local Zambian workforce�

Sentinel plant to ensure all services can be effectively shared. The project also provides a platform for further road (and possibly rail) infrastructure development in Zambia. It is First Quantum’s belief that implementation of Trident will create a trigger point for better transport connections overland to Namibia, Botswana and Angola.

The decision to go ahead with the Trident project, initially at the Sentinel mine, is recognised by the international community as a very positive endorsement of the continuing emergence of Zambia as a destination for capital investment. For its part First Quantum has a long-term commitment to the Government and people of Zambia. First

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View from the top of the flotation gantry crane

FQM - Trident overview Quantum anticipates that the development of the project will be a major contributor to the continuation of Zambia’s strong economic growth record over the past few years, providing development, employment, increased government revenues, growth of diversified industries and enhancements to the sustainability of local communities.

“There is no doubt in my mind,” Gladston enthuses, “that within five to ten years from now Trident will be rightfully recognised as a flagship mining project, not just in Zambia, but in Africa as a whole. We are going to be producing up to 300,000 tonnes of copper in concentrate form per year and by then we hope that after Sentinel comes Enterprise which will produce a nickel concentrate. So we see the whole of the Trident project as being a great success. Similarly, I have no doubt that there are other mining majors looking with great interest at how we are proceeding with the project and that we are going to be able to demonstrate to them in due course that Trident represents a great and long-lasting success story.”

As Gladston goes on to conclude, the success of Trident has come as a result of a number of factors. “Our success to date is rooted in the talents and commitment of our employees, particularly our local Zambian workforce.

With all that in mind we are very much looking forward to a successful commissioning of the full project during 2014.”

For more information about First Quantum Minerals - Trident project visit: www.first-quantum.com

special report | 123

Building a brighter future 124 | special report

FQM - Trident project CSR

How First Quantum Minerals has gained an impressive reputation for its corporate social responsibility efforts

written by: Will Daynes research by: Richard Halfhide special report | 125

FQM - Trident csr

W

herever its employees or assets are present, perhaps the most i mpor t a nt a spec t linking all of First Quantum’s operations and undertakings is the company’s commitment to achieving sustainable development t hrough economically viable investments, technically appropriate operations, environmentally sound practices and socially responsible actions. Naturally this approach extends to its work in Zambia and the Trident project.

First Quantum is aware, after all, that its mines themselves can only employ and sustain the livelihoods of a limited number of people. It is with this in mind that the development of the Trident project will include substantial investments in a new town, airport, commercial and industrial areas, and social amenities. In addition to all of this, First Quantum is planning to apply to the Government for some of these new areas to be recognised as multi-facility economic zones.

“It is First Quantum’s sincere hope,” John Gladston, Trident Resource Optimisation Manager explains, “that this investment in the mine-surrounds will foster local business and further employment for socio-economic upliftment”. The first procurement contract with a local supplier from the immediate project area was signed in early 2012. Trident will also include substantial investment towards schools, clinics and airport facilities plus an affordable home ownership scheme for employees, which it is hoped will foster their

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The Siemens Gearless Mill Drives are setting a new standard for productivity in the mining industry: • with the highest availability in the market • with highest efficiency and intelligent use of energy in weak grids • with proven design keeping an enterprise ahead of competition • by answering the challenging demands of the mining industry

www.siemens.com/mining

FQM - Trident csr economic empowerment and financial independence.

First Quantum has committed ZMW 128 million to CSR and entitlements over the next two years to support local communities.

In 2012, some 150 farmers were enrolled in First Quantum’s conservation fa r ming prog ra m at Trident, and an additional 130 growers received cassava cultivation support.

An extensive community healthcare programme is underway, while a hugely important compensation and resettlement action plan has been in front of Government

Supporting local farming communities

since September 2011 and an extensive consultation programme is underway in surrounding communities.

“The fact that we are actually going to the

SIEMENS At the first glance it looks like a contradiction, that First Quantum Minerals (FQM) defines low CAPEX and low OPEX as their project goals and buying the biggest grinding equipment available on the market. At the second glance it turns out to be a milestone of thinking. Getting the maximum out of the assets, FQM exchanges redundancy with reliability and availability in their process design.

We are proud, that our Gearless Mill Drive (GMD) is the equipment of choice to fulfil FQM’s high requirements for the Trident/Sentinel Project. With GMDs of 28MW for the 40ft SAG Mills and 22MW for the 28ft Ball Mills we are delivering some of the biggest mill motors of today. The GMD concept avoids any contact and wear between rotating mill and motor. This enables a continuous workflow

without maintenance on mill gears and pinions.

What used to be downtime is now production time.

The extremely high availability of our GMD is the result of a unique knowledge in manufacturing special motors and drives combined with a mature technology. Cyclo-Converters e.g. are one of the reasons why our solutions excel. They are high efficient variable speed drives, they are fuse less and short circuit proof, they bridge short power dips without interrupting mill operation. We deliver mill drives for First Quantum Minerals with the highest efficiency and the highest availability.

With the Gearless Mill Drives SIEMENS is setting a benchmark for productivity in the mining industry. www.siemens.com/mining

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Tata Zambia Limited

is a part of Tata Africa holdings (SA) (pty) ltd and a subsidiary of Tata international limited. In the 70’s, when ‘Globalisation’ was not the buzz word, TATA’s decided to venture in Africa where many of the countries were newly emerging independent entities. Owing to the strong belief that TATA’s forays into foreign markets should not be a ‘one off’ effort, TATA’s took the bold initiative of setting up subsidiary companies in Africa, with Tata Zambia being the Tata groups first and foremost venture within Africa, beginning in 1977.

Under the leadership of our Executive Director, Mr. Pankaj Khanna, some of the major and established business interests of the group are: • Tata motor vehicles – Sales & Services • Jaguar Land Rover – Sales & Services • Infrastructure and Construction Equipment • Vehicle body building plant and Fabrication • ICT- Domestic taxes system being developed for ZRA • General Trading Division: Steel/Bicycles/ Motorcycles/Tannery • Health care • Hospitality – Taj Pamodzi Hotel Tel: +260 211 612042 | +260 212 610377 Email: tata.copperbelt@tatazambia.co.zm

FQM - Trident csr effort of building what will effectively be a completely new and open town in Zambia is what makes the Trident project so unique,” Gladston enthuses. “We are building resettlement houses for those that we have had to displace from the mine site itself. We are taking our corporate social responsibility (CSR) commitments extremely seriously and it is for no reason other than the fact we wholeheartedly feel this is the right thing to do.”

As Gladston goes on to say, where First Quantum are displacing farmers and their

Farmers are taught conservation farming

families it is building larger replacement houses out of modern and improved materials. “In addition to this we are working to teach these farmers conservation farming techniques and creating a market from which

TATA ZAMBIA LTD Tata Zambia Limited, being the first venture of the Tata Group within Africa is a well established organization in distributing products under the Tata banner. Our major product range includes vehicles manufactured under Tata Motors Limited.We also distribute Tata buses ranging from the 28-40 seat Marcopolo body based buses, to the 60-61 seat Cummins engine based heavy duty buses. Apart from this, we provide after sales services to our clientele with a well equipped workshop and spares department at our Ndola and Lusaka offices. We have recently ventured into increasing our distributor network within the Southern Province (Livingstone), and have future plans of initiating distribution over a wider network within Zambia. Mining being

the mainstay of the Zambian economy, we at Tata Zambia strive to provide a wide variety of logistics solutions to various mining companies catering to their logistics requirements.

With FQM investing in the mining sector, our relationship with them has been a fruitful one, with Tata providing them with a wide range of vehicles for their daily mining and logistics duties. We have supported them regularly by providing FQM projects adequate service and support, and we consider their requirements to be of utmost priority to us. We look forward to their continuous growth within the country, and hope that our business relationship with them grows hand in hand.

E. tata.copperbelt@tatazambia.co.zm

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ROYAL TRAVEL AND TOURS LIMITED

Based in Ndola, Zambia and located at the gateway to the Copperbelt, the province that opens into the heart of Zambia’s major mining and production activities. Serviced by the only international airport in the province the company’s location gives

its strategic advantage in handling various industry personnel travel arrangements, in and out to all regions of the world. Furthermore, with our network of international travel industry alliances, we can offer a broad range of services specifically tailored to meet client’s requirements. With e-commerce facilities the company is able to communicate with potential and existing customers in the most remote locations, such as Trident, without requiring physical presence and arranging for travel so as to achieve efficient and timely movement of personnel. www.royaltravel.com

Local based company with a well trained and efficient staff, with decades of experience in the travel industry and members of TAAZ (local industry association), UFTAA and IATA. • As part of our expanding services, we can arrange for air travelling out from Johannesburg, Nairobi, Addis Ababa and Harare, with packages including Mauritius, Australia, Far East, Europe, Americas and other growing destinations.

• We arrange Local Tours and Air Charters.

• The agency can arrange for Fishing Camps and Game Camp Packages inside Zambia.

• We provide International Car Hire in South Africa paid for in Zambia.

• Able to provide Local Car Hire within Zambia.

• Can provide for Hotel Accomodation virtually anywhere in South Africa.

• Can arrange for issuance of e-tickets to any part of the world with internet connectivity for Outward Bound and/or Inward Bound Travel (Corporate Clients).

Tel: 260-212-612412 / 612429 Email: hemi.royaltravel@yahoo.com

T H E I N P E O P L E T O T R AV E L W I T H

FQM - Trident csr

Approach to landing at site

they can sell their produce on a sustainable basis. These are just a few examples of how we have ensured that the CSR element of the Trident project remains front and centre.�

The compensation and resettlement practices being carried out as part of the Trident project are in full compliance with Zambian Law and international best practice. In addition to requirements under the Law and in accordance with

requests from the Zambia Environmental Management Agency, a Resettlement Action Plan for the Trident project was submitted to the Zambian government in September 2011 and a final submission was provided on 15 August 2012.

A Resettlement and Compensation Working Group (RCWG) comprising senior regional government representatives, nongovernmental organisations, traditional

“The development of the Trident project will include substantial investments in a new town, airport, commercial and industrial areas, and social amenities� special report | 133

FQM - Trident csr leadership representatives and communit y representatives has been appointed to guide the resettlement process at Trident. The RCWG has agreed nine overarching principles to guide the process. These principles include that resettlement must be avoided, or minimised where unavoidable, that genuine consultation and participation must take place, that a pre-resettlement data baseline must be

Trust school foundations laid

established, that a fair and equitable set of compensation options must be negotiated and be demonstrated to be at replacement

METSO Metso through various acquisitions has been committed to the Southern African mining industry for over 100 years. Over time it has established an enormous installed base of quality equipment throughout the continent.

Products and services and specialist areas are crushers, screens, grinding mills, flotation equipment, slurry pumps, bulk materials handling, pyrometallurgical equipment including spares and wear parts. In addition, it provides outstanding support for its equipment with a huge inventory of OEM spares backed up with comprehensive maintenance and service contracts. The vast majority of Metso OEM spares are manufactured by its foundries in South Africa. The company has recently taken one of the biggest pump orders ever received in Southern Africa for one of the worlds leading mining companies. The order is destined

for a new coal mine in Mozambique, which represents a real breakthrough for the company in this area. It is currently launching new mobile crushers in Ghana. The company employs 1400 people in South Africa and is wholly owned by the Metso Group. Its new BBBEE Company, Metso Mining and Construction South Africa is 25% black owned, which makes it fully compliant with the country’s Mining Charter.

Metso has established excellent working relationships with many international project houses and mines. This has led to its large export base of South African manufactured products including pumps, manganese and bronze wear parts, which are supplied to customers world wide.

E. mmsa.info.za@metso.com www.Metso.com

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MEI MEI LIMITED Mei Mei Limited is recognised as being the largest block supplier in all of Zambia, producing four inch, six inch and eight inch cement blocks as well as 12 different types of paving brick, all of which have been used in the construction of some of the country’s

most important infrastructure projects.

Mei Mei Limited currently operates four different factories across the country.

Two of these factories can be found in Lusaka and each boast a capacity of 20,000pics for six inch blocks and 10,000pics of paving brick in eight hours. The company’s factory in Ndola has a capacity of 30,000pics for six inch blocks and 20,000pics of paving brick in eight hours, while its Solwezi factory possesses a capacity of 15,000pics for six inch blocks and 10,000pics of paving brick in eight hours.

E. meimeizambia@yahoo.com

We are experts in cement block and paving brick making.

T 0026 0965 666 989 | E meimeizambia@yahoo.com

FQM - Trident csr

The site is covered in Miombo woodland

“It is First Quantum’s sincere hope that investment in the mine-surrounds will foster local business and further employment” value and that resettlement must take place in accordance with legal requirements.

Furthermore, vulnerable social groups must be specifically provided for, resettlement must be seen as an “upfront” project cost, an independent monitoring procedure must be in place, and a grievance procedure must also be in place.

As part of Trident’s crop compensation procedure a number of Exclusion Zones were

declared over mining areas, phased to suit consultations with the community and the development schedule of the project. Prior to any decisions being made all fixed assets, including crops, were surveyed within the aforementioned zones. In addition to receiving full compensation for all crops at the time of the survey, farmers were allowed to harvest their existing crops. To date, crop compensation is 75 percent complete across

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Quattro Company Ltd was formed as a partnership and was incorporated in 1993.

Our product lines ranged from “Union”, “Yale” & “Solid” Locks, the “Alcolin” range, “FRAM” Filters, Assorted Hardware items, Domestic Refrigeration spares, AC’s and, to a greater degree, Motor Vehicle Spares & Accessories.

Our goal is to have the most up-to-date Personnel Transport Fleet in the mining industry.

We strive for problem free service to our contractors and fully believe in our motto...

T: +260 212 210442 | F: +260 212 211145 | E: quattro@iwayafrica.com

...“Let us do the work”

FQM - Trident csr the Trident area (98 percent complete in the immediate Sentinel area). The average payment is over ZMW 4,000 per hectare.

It was in the 2010 growing season that First Quantum launched its conservation farming pilot project across five plots. Results from this pilot reported an average 250 percent improvement in maize yields, with this figure increasing to nearly 500 percent at certain farms. This news resulted in 96 farmers participating in the 2011 season and as

many as 242 enrolling for the 2012 season.

Away from the farmland, First Quantum has a strong interest in assisting staff associated

QUATTRO Quattro Company Ltd was formed as a partnership and incorporated in 1993.

The primary order of business was to take advantage of our experience and expertise in the procurement, transportation, clearing and wholesaling of a wide variety of goods to retailers on the Copperbelt and Lusaka.

In 1998 we were approached to transport personnel for Chambishi Metals on a small scale. In time the scope of work increased so we began purchasing bigger and newer buses until, in November 2001, we assumed the complete running of the personnel transport for Chambeshi Metals Plc. We commenced personnel transport with Mopani Copper Mines in 2002 and also have a branch in Solwezi where we have been servicing Kansanshi Mine with personnel transportation and waste

management services since April 2005. We commenced services to Barrick Mining in March, 2006; our current activities include the transport of Barrick employees as well as refuse and sewerage services. In April 2011 we began transporting explosives for AEL across the country and to the Democratic Republic of Congo with 16 specialized explosive vehicles.

Quattro has also diversified its business over the years, recently branching into local and international trucking. We have set up a trucking depot in Kitwe off the Chingola Road Highway. Here we have a fleet of Horses,TriAxle Trailers and Interlinks, as well as Skeleton trailers for carrying containers. Our current international route is South Africa and locally we are transporting all across the country.

E. quattro@iwayafrica.com

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TRUCKMEC ZAMBIA LIMITED

SPECIALISTS IN MECHANICAL WORK, HEAVY HAULAGE,

EARTH MOVING EQUIPMENT AND CRANES

Office Manager: Partho Mazumdar 0968-265427 | Operations Director: Jay Mahavir 0966-991235 Managing Director : Neil Mahavir 0966-990060 | Telephone: +260 212 217290/ 92 Fax: +260 212 217285 | Email: truckmec@iconnect.zm | truckmec-zambia@iconnect.zm

FQM - Trident csr with the Trident project Truckmec Zambia Ltd to attain home ownership, Truckmec Zambia Ltd is based in Kitwe, Zambia. We what the company dubs a provide a wide range of transport services and earth cornerstone of economic moving equipment for hire. Our machines range from empowerment, through mining machines to road construction equipment. All our an affordable housing equipment is maintained in house by our fully skilled staff scheme. For employees, the to the highest standard. All parts used are only genuine parts. Our trucks and equipment mainly consist of Volvo as affordable housing scheme we strive to maintain the highest possible standard in our will provide certainty on fleet, both for a high quality of work and safety.. accommodation costs and truckmec@iconnect.zm unlock wealth creation and financial security through ownership of their home. There are of course benefits here for First Quantum as well, as high levels of home ownership will likely assist with attracting and retaining high quality employees.

Rather than using a high proportion of migrant labour, sourced from regional centres such as Solwezi, First Quantum expects that the majority of workers will be housed close to the mine site at a sustainable town to be built at Trident. The initial town planning scheme will allow for up to 10,000 future homes, but the initial phases of building will be scaled and staged as appropriate to the economic capacity of the project.

Of course it is not just homes that make up the infrastructure that is essential to

10,000 Number of homes the initial town planning scheme will allow for Forest surrounding site

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Leading Steel Distributors in Africa www.bsisteel.com

FQM - Trident csr the growth of a new town.

Other vital components include school and education ser v ices, clinics and health ser v ices, and transportation gateways.

For its part First Quantum has begun to examine building new school and health facilities at the Trident project, to complement the existing All timber is utilised on site; offcuts are made into pallets or furniture government infrastructure.

While the development and construction spray programmes and the CHAMP HIV of these facilities continues the company mobile health programme. To date more will carry on delivering health services in than 4,000 people have been voluntarily the area around the project in the form sensitised and over 2,000 tested for HIV, of interactive health road shows, malaria more than 5,000 households have formed

BSI STEEL LTD

BSI Steel has a branch in Lusaka which is perfectly positioned to service your steel requirements whether large or small. Our range of steel stocks, are the largest and most diverse in Zambia and we carry stocks in excess of 4,000 tonnes at any given time.

In addition our knowledgeable and professional staff are on hand to assist you with technical support as and when you require it. To ensure that we are able to handle your orders we run sophisticated order processing systems that are linked via VSAT to all our operations that will ensure we offer the shortest possible lead times. Our fleet of delivery vehicles, ranging from 30 tonne horse and trailers to arrow financial cash advance 1 tonne bakkies, are geared to handle bulk orders as well as your just in time requirements.

E. rodney.rae@bsisteel.com www.bsisteel.com

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Look no further than Bisonite, the ultimate choice for building, construction and furniture industry.

Our products • Plain Particleboard • Surface Upgraded Particleboard • Sawn Timber (Wet-off-Saw) • Sawn Timber (Kiln-Dried) • Mouldings • Cornice • Coverstrip • Skirting • T&G Telephone: +260 212 651 063/4 Email: sales@bisonite.co.zm

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FQM - Trident csr part of the company’s indoor residual spray programme Bisonite Zambia is a wholly owned Zambian private and approximately 60,000 company and is one of the leading plain and surface mosquito nets have been upgraded (Melamine) particleboard, as well as softwood distributed to people timber and value added timber products producers in living in the Trident area.

Zambia. Having been in existence since 2004 we have In recognition of its hard been supplying our family of products to most areas of Zambia and regional markets such as, Zimbabwe, Malawi, work, First Quantum was Democratic Republic of Congo, Namibia, Botswana the proud recipient of the Tanzania and Mozambique. Our plant has the capacity to “Business Leader in Zambia” supply the whole country and the regional markets.. award on 7 December 2012 sales@bisonite.co.zm in tribute to its malaria campaign work.

One other notable development involves the company’s plans to construct an airport, complete with a new 2,700 metre runway. In addition to the recently completed upgrades at Solwezi airport by First Quantum, this is expected to reinvigorate air travel into the western provinces of Zambia, something that is seen as vital to the future economic growth of the region.

Another interesting and unique aspect of the Trident project is the Forestry programme that First Quantum has developed. “The mine pit itself, at its largest, will measure eight kilometres by three kilometres,” Gladston points out, “and there is some beautiful timber that currently

Bisonite Zambia

2,700 Length of the new airport runway in metres

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turbo agencies

TURBO AGENCIES Turbo Agencies was established in 1986 in Gaborone, Botswana by its founder and still Managing Director Mr Keith Parry. The business was then expanded into Zambia (Kitwe) and the Congo in 2004. Due to exceptional growth in Zambia a new branch was opened in Lusaka in 2011 with the possibility of opening up branches in other African markets. Although we are based in Southern Africa, we have equipped heavy plant workshops in Burkino Faso ,Liberia and Sierra Leone. In 2011 Turbo Agencies was acquired by PSV Holdings, making it a public listed company. As part of our quality service we have an in house logistics team providing transportation of our products

through out Botswana, Zambia and Congo.

Our transport fleet includes 1 * 32 ton trucks, 2 * 28 ton truck, 2 * 8 ton trucks, 1 * 5 ton truck and 8 * 2 ton vehicles.

All our goods are consolidated in Botswana and transported on from there.

All vehicles are fully equipped with tracking devices for added safety and to ensure our customers get the right products at the right time. For our clients in North Africa we outsource our transportation which we have good relationships with (SDV, Rholig and others) enabling us to get the best possible service to our clients. www.turbo-agencies.com

turbo agencies

MANUFACTURERS REPRESENTATIVE AND DISTRIBUTERS

At turbo agencies our mission is to purvey to our customers a guarantee of quality, integrity and professionalism in both our products we supply and the way we conduct business. We share with our customers the 26 years experience we have in supplying and servicing the mining industry in central africa.

email: phillip@turboagencies.co.zm telephone: +260212219082 www.turbo-agencies.com

Where Quality Counts!

FQM - Trident csr

Buidings are built around the forest

sits on top of that area. To make the most of this what we have done is build a sawmill which will provide material to a furniture factory that we are building. Here we will be training local people to make furniture from the timber that we will have to fell. A carpentry workshop and training centre will be established in due course. The Forestry programme will employ 200 Zambians.

Gladston is quick to stress as well that

wherever First Quantum is able to plant a tree in an open space then it will do so. “On the main road into the plant site there is a huge roundabout, roughly the size of a football field, and on that roundabout we have covered the land with new trees. These trees are in addition to the 4,000-plus timber trees that we have planted on cleared land.

It is hoped that the trees planted in the next few years will provide the feed-stock for the

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NEW PRECIOUS RESOURCE DISCOVERED

Click here to visit our dedicated homepage for the mining community www.bus-ex.com/mining BEST PRACTICE IN MINING

FQM - Trident csr sawmill in eight-ten years’ Spencer Ogden time.”

Experience, flexibility and innovation: just three reasons Meanwhile First why Spencer Ogden is changing the face of global energy Quantum is also looking recruitment - and winning awards. Our specialist Mining to secure a conservation division follows suit, placing the industry’s finest candidates area that it will use for the in key roles the world over. restocking and conservation With offices in London, Scotland, Singapore, Houston, Hong Kong, Dubai and Cape Town, we connect globally of indigenous flora and and support locally, ensuring professional, efficient fauna. Furthermore the and seamless results for delivery on project teams and company aims to facilitate individual roles, contract and permanent. community based natural From live project tracking to proactive headhunting, our resource ma nagement end-to-end recruitment solutions do the job better, allowing programs and new Joint us to find the expertise our clients need in a market.

Forestry Management areas www.spencer-ogden.com at the adjoining Bushingwe and Lualaba Forest. The project has received broad support amongst traditional leaders and local communities, and is now awaiting Department of Forestry approval.

“I think our constant engagement with the local and central Government of Zambia, tribal chiefs and the population of the country has really benefited this project and remains at the forefront of everything we are trying to achieve,” Gladston states.

“It is in partnership with the Government and the Zambian Development Agency (ZDA)

zmW 128m First Quantum’s commitment to CSR over the next two years to support local communities

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BREZA Engineering LTD

BREZA Engineering ltd By adopting a European approach to its works, BREZA Engineering, in existence since 1998, is unmatched by its competitors within the Zambian market in the fields of structural steelwork, mechanical manufacturing, piping and supplementary civil/ electrical works. Our clients mostly belong to the mining, general construction, transport and agricultural products processing industries.Our owner-operator led business strategy, supported by our horizontal system of management, helps us remain flexible, yet just as efficient in handling special side-line tasks in instances where our large scale production based clients are not mobilized sufficiently.In addition to tapping into the local learning

BREZA Engineering LTD At BREZA Engineering our continental professional training and expertise in mechanical/structural steel aspects of the building trade blended with the skills of 100 Zambian employees allow us to deliver customized engineering solutions to our clients.

PO Box 39 0041 Lusaka, Zambia Phone: 00261 240301/ 246138 E-mail: breza@zamtel.zm E-mail: breza@coppernet.zm

institutions such as the University of Zambia and the Northern Technical College, we also do our bit for the socially challenged by employing graduates from the SOS village in Lusaka. We also ensure that professional, experienced engineers from abroad are physically involved in the skills transfer process that is so badly needed in Africa.We are proud and appreciate our involvement in the Trident mine projects.We strive to free the hands of the main contractors by taking on problems as and when they arise enabling them to concentrate on the main aspects of the new mine construction.

E. breza@zamtel.zm

FQM - Trident csr

Local events are carried out by FQM employees

“Ultimately all of our efforts are about creating a long-lasting legacy for the people of Zambia” that we are constructing our proposal for a multi-function economic zone, into which we hope to attract significant inwards and international investment in the years ahead.”

One of the agreements the company hopes to get from the government is for international companies to receive tax breaks in return for establishing operations in the Trident area.

By attracting business into the area First

Quantum believes it will create what will eventually be a self-sustaining town.

“What we want to see from the getgo,” Gladston says, “is an organised township complete with all the appropriate educational and health care infrastructure in place. Our efforts are also focused on getting some of the larger multi-national hotel chain and supermarket brands to

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FQM - Trident csr

4,000+ Number of trees planted on the cleared land

come in and provide the initial support to what will be, for the first few decades at least, a mining town.”

Ultimately all of these efforts are about creating a long-lasting legacy for the people of Zambia and help to address one of the fundamental questions that arose right back at the start of the Trident project and that was, what will become of the region after the mine ceases to exist?

“It is for this reason that we have been so very keen to work with the ZDA to create that economic zone,” Gladston concludes, “to get the hotels and supermarkets set up, get the schools running, get water and electricity running so that when the mine does expire there will be a myriad of other things going on to sustain it. One of the things we are most conscious of however is for none of these developments to be flash in the pan such that when the mine finishes we have a ghost town on our hands. There is absolutely no reason why that needs to happen here.”

For more information about First Quantum Minerals - Trident project visit: www.first-quantum.com

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standard bank

the Setting

standard How Standard Bank plays a key role within Africa’s emerging markets and its ongoing commitment to the continent

edited by: will daynes research by: richard Halfhide

154 | special report

A gold wagon outside an early Johannesburg branch of the bank in 1895

Standard Bank

T

he First Quantum Minerals (FQM) story began in the late 90s and spans humble beginnings from a tailings retreatment process at Bwana Mkubwa in Zambia, to its present day achievable aspiration to be one of the world’s leading copper producers. The financing and development of Kansanshi marked the transition of the company to a fully fledged miner and the beginning of a spectacular growth story for the company over the last decade. Following the Kansanshi success, FQM expanded their footprint through the African Copper belt, the African continent and then on an international scale as the company diversified into Nickel and acquired Kevitsa and Ravensthorpe. Acquisitions continued with the Antares, Haquira Project in Peru and the most recent widely publicised Inmet acquisition, including the large scale Cobre Panama Project.

FQM growth story and Standard Bank support Standard Bank has partnered with the company throughout this story with a relationship dating back to the initial financing of the company’s flagship Kansanshi Project – Africa’s largest copper mine and the world’s eighth largest copper mine today. In December 2003 Standard Bank, as a Co-Lead Arranger and Underwriter, signed a $120 million export credit and commercial debt facility for the development of Kansanshi. Vaughan Wickins an Executive in the bank’s Mining and Metals teams comments, “the Kansanshi financing was a landmark transaction as it was the first

mine financing in Zambia done on a project finance basis. Standard Bank was confident to underwrite the senior loan which included the Export Credit Insurance Corporation of South Africa. The financing structure also incorporated an asset finance, overrun and power line cost element, however the senior loan facility was ultimately awarded the Project Finance Magazine Mining Deal of 2003 – Africa”. In addition to the senior loan support, Standard Bank signed a $6 million short term facility to finance the company’s capital contribution to ZESCO (the Zambian power utility), providing for the construction and installation of a transmission line and new substation to connect Kansanshi to the ZESCO power grid.

In October 2006, Standard Bank was a lender to the $400 million corporate facility that enabled the refinancing of the Kansanshi facility and financing for the company’s additional projects and general corporate purposes. By the end of 2006, FQM had four African assets including Kansanshi, Bwana Mkuba/Lonshi, Frontier Copper in the DRC and Guelb Moghrein in Mauritania.

2008 was a busy year for FQM. The company acquired Scandinavian Minerals and the Kevitsa nickel-copper-PGE project in Finland - one of the world’s largest undeveloped, sulphide nickel deposits at the time - and later in the year announced the acquisition of BHP Billiton’s Ravensthorpe nickel operation in Western Australia. FQM was advancing its plans to become one of the world’s leading nickel producers. Following a decision to commence development of the Kevitsa Project, Standard Bank was again

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mandated as a lead arranger on a $250 million debt facility to fund development.

Standard Bank Growth Story Standard Bank is the largest bank in Africa with over 150 years of operating history on the continent and employs more than 50,000 people worldwide. The bank operates in 18 countries in sub-Saharan Africa and is building Africa’s leading financial services organisation.

Africa is expected to benefit from sustained economic growth in the decade to 2020.

Standard Bank with its on-the-ground presence and unmatched knowledge of Africa’s economies, resources, clients and communities, is uniquely positioned to ride the wave of the African growth story.

Standard Bank operates around 550 retail branch outlets outside of South Africa and

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plans ongoing investment in its operations across the rest of Africa. Including South Africa the bank currently operates around 8,500 ATMs across the continent.

The strategic partnership with its 20 percent shareholder, the Industrial and Commercial Bank of China, has proved rewarding. In 2008 the $5.5 billion investment was the largest foreign investment into South Africa and largest foreign investment by a Chinese bank internationally. The transaction marries China’s appetite for commodities with Africa’s vast resources and Standard Bank’s expertise on the continent.

Standard Bank’s achievements have been acknowledged across the industry, with the bank recently being named as Best Investment Bank in Africa by Euromoney. The award adds to Standard Bank Group’s list of accolades received in 2013, including winning eleven

Standard Bank ‘EMEA Finance Achievement’ awards; the ‘African Deal of the Year’ award for Konkola Copper Mines financing in the 2013 Project Finance Deal of the Year Awards; ‘Commercial Deal of the Year’ in the 2013 Trade & Forfaiting Review; and being named ‘Best Trade Finance Bank in Africa’ by Global Finance.

Mr David Munro, Chief Executive of Standard Bank Corporate and Investment Banking said, “Our clients are at the heart of everything we do. We have a unique footprint and physical presence across Africa, global connectivity to serve Africa, unique sector expertise with a specialisation in natural resources and a talented team, all of which reinforce our position as the leading financial services organisation on the continent.”

Standard Bank’s mining and metals expertise Standard Bank’s focus on resources is supported by the vast potential of the African continent. It is an institution steeped in mining history with its head office situated in the South African gold region of the Witwatersrand in the Gauteng Province. There are not many institutions that can have their employees look out of the head office windows and see mining headframes in the distance.

Commenting on the bank’s support for First Quantum and its mining pedigree, Mr Wickins says “FQM’s experience and track record in successfully developing and operating complex projects has set them apart from other miners. It remains a key aspect that has underpinned Standard Bank’s ongoing support for the company.

It is a similar focus on technical expertise along with our track record that has seen Standard Bank finance the majority of new copper mine developments in Africa over the last decade, this includes financing for FQM, KCM, Equinox, Discovery Metals and Metorex. “ The mining and metals sector is high risk with the challenges only exacerbated in the current climate of falling commodity prices. At times like these it’s important for companies to partner with banks that have

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a long term commitment to the sector and the continent. Mining and metals remains a core business for Standard Bank and its comprehensive service offering includes providing innovative and flexible financing, advisory, trading, ECM and treasury solutions to clients. The bank’s mining and metals team includes extensive technical expertise with individuals ranging from the various disciplines of mine engineering, geology, metallurgy and process engineering. We are able to leverage this in-house technical expertise and track record of successfully executed transactions to assist clients achieve their development objectives. The Bank’s network of offices in all the major mining regions of the world enables it to provide analyses of global commodity trends and to stay abreast of local developments.

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As part of the bank’s expertise in supporting the mining sector, Standard Bank is currently the leading ECM platform in Africa, closing twelve transactions in 2012 with a deal value in excess of $2 billion and being awarded Euromoney’s 2013 award for Best Equity House in Africa.

Additional product support to FQM While the funding support Standard Bank has provided to FQM has been an important aspect in assisting the company’s growth plans, the bank has also been a long standing provider of day to day banking support in Zambia, including provision of new ATMs and branches as well as situating bank staff on the client’s premises. The Bank’s FX trading teams situated in Lusaka, Johannesburg, NY and London offer real time market views and

Standard Bank

“Standard Bank is currently the leading ECM platform in Africa, closing twelve transactions in 2012 with a deal value in excess of $2 billion” trading solutions to mitigate currency risks and ensure efficient operational management.

In addition to transactional and FX support, the bank has an established capability in commodity trading, notably in the African copperbelt. Steve Reece Head of Base Metals Trading at Standard Bank commented on the physical trading environment in the region: “Standard Bank has actively supported mining companies in the region and established an impressive physical commodity capability over the last ten years. Our support to miners includes the ability to act as an offtaker and take physical Cu metal in a variety of forms including everything from concentrate through to LME grade copper cathode.

In addition we have provided short term working capital support linked to physical offtake solutions. In the case of FQM and various other miners, providing short dated QP hedging lines has assisted the miners in managing their near term commodity price exposure, whilst the provision by Standard Bank to many miners of longer dated lines has helped those miners provide their debtholders and shareholders with price security in extremely volatile times” FQM has a good understanding of commodity sales and marketing, following the acquisition of the trading company,

Republic House in 2010. The marketing and sale of the company’s copper production is handled by Metal Corp Trading, the separate entity it established following the acquisition.

Standard Bank’s strength in global commodity trading is supported by 24 hour coverage of spot, forward, options and other derivative instruments in precious and base metals as well as capability in iron ore and other metals.

Standard Bank in Zambia In Zambia, Standard Bank trades as Stanbic Bank and was established in 1992 offering Personal and Business Banking, Corporate and Investment Banking and Wealth Management.

The Bank has 22 branches spread across the country, including the Copperbelt and North Western Province, with 48 ATMs all equipped with VISA facilities. The bank has invested significantly in growing its capacity in Zambia across both these provinces.

Standard Bank’s Corporate and Investment Banking business in Zambia serves a wide range of client requirements across banking, finance, trade, risk management and advisory services. The division has built a deep understanding of the market dynamics in Zambia and maintains a specific focus on industry sectors that are

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“The work done in Zambia, South Africa and the UK has added significant value to the client and increased the strength of the relationship” most relevant to Zambia and have a strong local value proposition, including mining and metals, telecommunications, power and infrastructure, agribusiness and financial institutions. The local team is able to provide clients with relevant experience and deep insight into the local commercial and regulatory environments.

For both FQM and Standard Bank, Zambia remains an important country of focus.

Standard Bank’s strong presence in Zambia means the bank is well positioned to continue supporting FQM’s Zambian growth strategy.

FQM’s current assets in-country include a strategic investment in Mopani Copper Mines (whose assets include the Mufulira mine, smelter and refinery and the Nkana mine, concentrator and cobalt plant), the expanding Kansanshi Project, construction of a copper smelter at the mine, and the Trident Project incorporating Sentinel (Copper), Enterprise (Nickel) and Intrepid (Uranium).

In terms of location, the flagship Kansanshi mine and Project Trident are situated in the North Western Province of Zambia some 15 kilometres and 150 kilometres west of Solwezi, respectively. Solwezi has quickly grown into a major mining centre serving the aforementioned projects as well as Barrick Gold’s Lumwana mine. The area is

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capable of producing well in excess of 1 M tonnes per year of copper as well as other by-product metals including gold. The region has become an increasingly important province for the country.

The Trident Project will be built around a new urban development, Kalumbila, in the North Western Province and the Bank has been at the forefront of providing financial services and support to FQM, notwithstanding the relative infancy of this particular initiative.

We are providing a temporary drop-down ATM solution whilst the town and mine are being constructed. Once operations begin in earnest, the Bank shall open a full-service branch at the mine to ensure access by the company to the best commercial banking services possible and minimal disruption to operations at the mine.

Over the last two years, Zambia has introduced significant and far-reaching regulatory changes. Several of these have presented challenges to businesses including FQM, as one of Zambia’s largest tax payers.

Statutory Instrument 55 (Monitoring of Balance of Payments), introduced in July 2013, has required significant operational planning and adjustments. Standard Bank set about understanding the implications of the new regulations and in collaboration with

Standard Bank

FQM and the regulator, formulating solutions and human capital support to guide the client through the process. The work done by the Bank in Zambia, South Africa and the UK has added significant value to the client and increased the strength of the relationship.

Particularly noteworthy, underlying the unique relationship that exists between the two businesses is the decision to commit part of the Bank’s headcount solely to FQM at Kansanshi as a result of SI55.

Stanbic Zambia continues to service a number of the other major miners in-country, including Barrick Gold and Vedanta Resources.

More recently the Standard Bank Group won Project Finance magazine’s 2012 African Mining Deal of the Year for the $700 million project funding for Konkola’s development of the Konkola Deep Mining Project.

Paul Richards, Head of Corporate and Investment Banking at Stanbic in Zambia said, “We are African in ethos and culture. I personally take much pride and comfort from

one of our more recent strap lines, which I think describes in two short sentences the essence of our Bank. “They call it Africa. We call it home”. We aim to build the leading African financial services organisation using all our competitive advantages to the full. We will focus on delivering superior sustainable shareholder value by serving the needs of our customers through first-class, on-the-ground operations in chosen countries in Africa. We will also connect other selected emerging markets to Africa and to each other, applying our sector expertise, particularly in natural resources, globally” It is a testament to the Zambian Government’s commitment to supporting the mining sector that FQM has had the confidence to commit to its large scale development plans in the country. Following commissioning of Sentinel and further Kansanshi expansions, FQM will initially be targeting annual copper production in Zambia of approximately 700,000 tonnes per annum. Planned capital expenditure in-country will be in the order of $3.4 billion.

Africa is a key focal point for growth within the emerging markets and Standard Bank plays an important role in continuing to support development, leveraging its people, expertise and track record. Standard Bank’s commitment to the continent and the sector is evident - “They call it Africa.

We call it home”.

For more information about Standard Bank visit: www.standardbank.com

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Sino Grinding

Grinding out results Pieter Theunissen, Marketing Manager for Africa, and Mark Addison, General Manager of Sino Grinding (Americas) Inc, explain how Sino Grinding became the next global leader in grinding media and how it intends to remain as such

written by: Will Daynes research by: Gareth Hardy

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SAG mill in action

Sino Grinding

I

t was more than a decade ago now that Paul Peng, at the time working for another company designing his own unique grinding media, decided it was time to go it alone and set up his own business. It was this calculated determination that led the creation of Sino Grinding.

“In the early days of the business,” explains Pieter Theunissen, Marketing Manager for Africa, “it specialised in the design of grinding media for use in SAG mills. It was this somewhat niche market that Paul identified as being one that was often missed entirely by the larger grinding ball manufacturers.

What he subsequently did was design SAG mill grinding balls that could withstand high levels of impact and possessed good abrasion resistance. Upon testing these balls were found to be highly successful and it was from here that the business would go from strength to strength in the years that followed.”

Today the Sino Grinding Group of companies promotes its grinding media on a global level, providing its clients with regular on-site technical support, while proactively carrying out advanced research and development in order to bring new products to market to deal with specific problems. The group itself is made up of several companies, subsidiaries and representatives including, Sino Grinding Industries, Sino Grinding International, Beijing Sino Grinding International and Sino Grinding (Americas) Inc. Since its formation Sino Grinding’s aims, when it comes to the work it does for its clients, have centred on four main focus areas, those being the said clients’ steel

special report | 167

consumption levels, the costs expended per quantity of ore milled, achieving grind by particle distribution improvements and increasing throughput levels.

“From day one,” states Mark Addison, General Manager of Sino Grinding (Americas) Inc, “we work continuously and tirelessly with our clients until we know that we have the right solutions to meet their requirements.

We are not milling specialists who provide a general purpose product to the whole industry, rather we are specialist designers and as such we work to the targets and specifications set by our customers.”

What makes such a unique approach possible is Sino Grinding’s impressive range of seven different types and grades of forged SAG grinding media. This far outnumbers the industry average which tends to see commercial grinding ball manufacturers producing no more than two types of media.

Sino Grinding’s grinding media range in size from 0.5” (13mm) up to 6.5” (165mm) and cover all different kinds of mill type.

“What our range of products allows us to do is match the environment that a customer is milling in to a particular solution,” Addison continues. “Further to this we provide technical services that including modelling the milling operations of our customers to

improve the whole process, choosing the correct grinding ball sizes and carrying out the initial ball charge calculation for the commissioning of new mills.”

One recent, and particularly impressive, example of how Sino Grinding is able to improve the grinding activities of its

“We take huge pride in the fact that we are not copiers, rather we are innovative designers” 168 | special report

Sino Grinding

Paul Peng listening for ball on shell impact

customers can be found in the world, where the said Zambia at First Quantum industry figures have a Minerals’ Kansanshi Mine. first-hand opportunity to Here the company has compare the products they currently use with those of assisted in halving the The size range of Sino Grinding’s grinding media Sino Grinding. operation’s consumption “During these tests,” rates of mining media in Addison highlights, “one of kilograms per tonne, thus helping it to make considerable cost savings the first things we work towards is being over an extended period of time. able to provide a recommendation of what With such successful examples already the best size of grinding ball product would visible within the marketplace Sino Grinding be for a particular potential customer, then is currently working to build upon this the selection of the Sino wide range of by conducting tests with a wide range of media grades begins. This is our starting companies and mining operators throughout point from which we can begin to modify

0.5”-6.5”

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125mm Sino-4 grinding balls in a 6.5m SAG mill

“Our wide product range, unique customer focused approach and dedication to quality has put us ahead of the game and that is where we intend to stay” said recommendation throughout the course of discussions with the customer.

Time and again we have found this to be the best way of achieving the targets and aims that we are set.”

One of the other unique qualities that Sino Grinding boasts is the fact that it uses

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a specially designed multi-hammer forging process. Much as has been the case with the chemical composition of the company’s grinding ball range, attempts have been made by competitors to replicate this process however no one has yet managed to get all the components right. “We take huge pride in

Sino Grinding

Grinding balls after use

the fact that we are not copiers, rather we are innovative designers,” Theunissen enthuses.

“Because of this we have managed to stay ahead of the curve and we estimate that we are still some years ahead of our nearest rivals when it comes to research and development.”

While Sino Grinding has always been committed to developing new products and solutions the same can’t necessarily be said about the vast majority of its competitors and this has resulted in an industry sector that, overall, has seen very little in the way of change for the last two decades. This however is something that the company expects to change in the not-too-distant future.

Examination of grinding balls

“Eventually the market as a whole will have to lift its quality levels,” Addison concludes. “This will happen slowly and while it does it is our own aim to be recognised as the go-to-guys when it comes to SAG milling and grinding ball solutions.

Our wide product range, unique customer focused approach and dedication to quality has put us ahead of the game and that is where we intend to stay.”

For more information about Sino Grinding visit: www.sinogrinding.com

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zesco

Powering Zambia Zesco, Zambia’s national power provider, has been beset by problems, many of them a legacy of under investment and piecemeal growth: but these are now being addressed head on and state of the art technology is the order of the day

written by: John O’Hanlon research by: Robert Hodgson

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Cyprian Chitundu, Managing Director

zesco

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he first mains electricity that Zambia Electricity Supply Corporation flowed in Zambia came from a Limited (ZESCO) is Zambia’s state-owned small coal fired station in the power company, a business that operates capital Livingstone, but even more like an independent company than a that did not cover the entire city. government department: adopting the model Zambia had to wait till 1938 to get its first commonly followed in Africa it is known as hydro-electric power from that mighty power a parastatal. So it is governed by a board of source, the Victoria Falls. Of course the copper directors that is appointed by the government, mines needed power, but up to the middle of with wider consultation with stakeholders, the last century they had to provide their own and with the participation of the private generation facilities. This meant that a number sector. It is Zambia’s largest power company of local authorities distributed electricity in producing about 95 percent of the electricity their own districts obtaining their supplies in consumed in the country. the main from existing power stations. For To act as a big corporation in a nearinstance, Livingstone local authorities bought monopolistic industry is a difficult task, admits power from the Victoria Zesco’s Managing Director Falls Electricity Board while Cyprian Chitundu. The only Kabwe and the Copperbelt time the customer really authorities purchased power notices their power supplier is from the mining companies when there’s a problem, and Zambia’s peak which they were often able Zambians are given plenty power demand of opportunity to notice that to sell local municipalities. there are frequent power But real consolidation did not take place until the early 1950s when outages. This, he says, is because the system at least four stations with a combined 120 is under stress. There is an under-capacity MW capacity were connected to a central within the country, and rationing has been switching station at Kitwe. necessary to ensure that every Zambian who With the construction of the Kariba is connected to the grid has a fair share of Dam and power station in 1962, and the the available power. To illustrate the situation, subsequent development of the 990 MW national demand for power, at peak times, is Kafue Gorge power station the copper mines more than 1,780 MW: Zesco’s total capacity finally had a source of hydroelectric power is 1,700 MW, leaving a deficit of around that was sufficient to supply Zambia’s major 165 MW, allowing for a safety margin. population centres as well. A power supply But that is no substitute for a reliable and network began to extend across the country continuous supply, he would be the first to and today this carries electric power to all acknowledge. “It is with this in mind that we but the most remote and inaccessible parts have adopted an action oriented strategy that of the country. will ensure that three years from now the

1,780 mw

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zesco Zambian people will be well catered for and absolutely Two Rabbits Ltd is a proudly Zambia owned and operational free of power rationing.”

Branding company. We specialize in all types of branding With the government backing and works are down in-house. Embroidery, screen printing, it by facilitating external Embossing, engraving, large format printing. investment partners, this Our Clients see us as an important resource and integral will, he hopes, get a number part of achieving their goals. Understanding our client specific goals is our top priority. We are extremely of projects moving that have committed and focused on this concept and continue to been stalled for up to ten tailor the way we do business in order to help you achieve years. After all, he points exceptional results. out, the very demand for With Two Rabbits Embroidery as your Branding partner, you electricity that is causing can be confident that you are building a solid affiliation with supply problems has only an organization you can trust and count on. come about through Zambia’s www.tworabbitsgifts.com economic boom.

2012 was a good year for Zambia’s economy. Growth was driven by expansion in agriculture, construction, manufacturing, transport and finance.

Economic prospects for the future look positive so long as growth can be sustained and broadened to accelerate job creation and poverty reduction. After a slump in output, copper mining is expected to rebound in 2013, and is projected to reach 1.5 million tonnes by 2015. This is largely due to investment in new mines and the expansion of capacity at existing plants. Robust international copper prices will provide additional stimulus to mining. But that expansion very much depends on the availability of a robust power infrastructure, and that is Zesco’s challenge.

Chitundu has identified eight key factors that need to be addressed as part of the action plan and number one on the list is to put an end to loadshedding, a polite name for sharing out blackouts as a way of keeping the lights on for most of the customers. Among Minister of Finance touring the KNBE project

TWO RABBITS EMBROIDERY LTD

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the remaining objectives are to increase working capital, control costs and increase the customer base. But fairness to the customers is a thread running right through the policy, and one of the key perceived inequitable factors is the non-availability of power in some rural and remote parts of the country.

To address this Zesco is working with the government of Zambia, the United Nations Industrial Development Organisation

(UNIDO) and the Global Environment Facility (GEF), and has embarked on a project to develop isolated mini-hydro power stations to mitigate the power deficit in rural areas. One such project is the one-megawatt Shiwang’andu mini-hydro power project which was commissioned in December 2012.

An important objective of the project was to promote renewable energy based on mini grids for rural electrification in the country.

“The investment in the Fibrecom network is a great achievement by ZESCO with immense social, technological and economic benefits�

Work in progress at KNBE

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zesco

Kariba dam

The Shiwang’andu project is not connected to the national grid – it is purely a local facility, so the buy-in from the people who will benefit is considerable. The project has created employment opportunities for 70 local general workers. The isolated mini grid will connect to the schools, clinics, lodges and farms which will bring economic development to Shiwang’andu area.

While Zesco is implementing its large scale improvement programme, it is not all about fighting fires. The company recently launched the second phase of its fibre optic network after completing the installation of 5,300 kilometres of optic fibre cable on its high voltage lines. Phase one brought high capacity ICT to 46 towns in every one of Zambia’s ten provinces. “The investment in the Fibrecom

network is a great achievement by Zesco with immense social, technological and economic benefits,” said Cyprian Chitundu.

Phase 2 extends coverage by a further 4,300 kilometres, with international connections to Tanzania and Namibia. The network is also being equipped with real-time remote surveillance systems, with access control at key installations on the Fibrecom (Zesco’s own brand) network. This, says Chitundu, will address the bane of vandalism, which is responsible for many of the outages that the customers currently blame on Zesco.

For more information about Zesco visit: www.zesco.co.zm

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COMING SOON mines & money lon special report

Contact us to discover how you can take part Email. rhalfhide@bus-ex.com

BEST PRACTISE IN MINING

SOON ndon

In association with:

MANUFACTURING WORKWEAR & PPE FOR SUB-SAHARAN AFRICA Our vision is to be the preferred partner of choice for protective wear and PPE, and to maintain our reputation as leading manufacturers of uniform solutions for the markets in which we operate

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malgamated Dress is a leading manufacturer of workwear and personal protective equipment (PPE).

In order to be a true market leader, the company recognises that simply catering for the needs of the mass market is not sufficient enough.

Amalgamated dress have the capability to manufacture bespoke products for the many international mining, drilling, construction and security companies. Clients are approached in a unique, case-by-case manner to

“ ProSafe is a widely recognised trademark in Zambia and is synonymous with high quality” 182 | be directory

ensure that their needs are met in the most effective and cost-efficient way.

The company’s flagship brand, ProSafe is a widely recognised trademark in Zambia and is synonymous with high quality.

Alongside the quality and popularity of the range, Prosafe products also adhere to international specifications.

Amalgamated Dress initially started manufacturing workwear, but they are eager to keep abreast with changes in the market and are continuously expanding their product range to cater to their diverse clientele. As of today, they supply the full range of PPE and their manufactured product range encompass the full range of gloves, safety glasses, earplugs and respiratory equipment. Products move swiftly from the manufacturing source to the end users in the most efficient way, therefore clients can be confident

Amalgamated Dress

that they are not only receiving quality products, but are also receiving the best value for money.

The Copperbelt is the mining hub of Zambia and Amalgamated Dress is strategically located in Ndola providing a central location to serve the mining community. Ndola also lies on the border of The Democratic Republic of Congo allowing the company to effectively export goods to the large mining community in the Katanga Province. As well as serving the Zambian market, Amalgamated Dress also exports to Malawi, Zimbabwe and Angola and is continuously looking for distributing partners to expand

their horizons within Africa. Our ever-growing network of distributing partners know their respective local markets and understand the importance of providing an efficient service to their clients.

AMALGAMATED DRESS Plot B3, President Avenue North, P.O. Box 240313 Ndola, Zambia T +260 212 611337 www.amalgamated-dress.com

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BIA: a fascinating never-ending adventure!

BIA is proud to be one of the most established heavy-equipment distributors in Africa and Benelux

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IA and the distribution of civil engineering and construction machinery it’s a long story! It all started in 1902 when Georges Bia decided to open a sales office in Brussels operating in the Belgian and Congoleese markets. Over time the BIA business really kicked off, going from strength to strength to become a key player in the public works, quarry and mining sectors in the Benelux countries and West and Central Africa.

“ BIA already employs more than 700 people in Africa.

By the end of 2013 this number could top 1,000” 184 | be directory

Throughout its long history, BIA has never experienced the levels of growth that it has seen in the last three years.

From 2009 to 2012 the firm’s revenues tripled on the back of strong sales from the African activities. Operating as a distributor for original manufacturers including Komatsu, Sandvik, Bomag, Cummins and Tecnogen, BIA is now targeting to double its revenue by 2015, beefing up its presence in the African continent.

The BIA value added is not strictly limited to be a distributor of premium brands! Maintenance and Service are a priority too. In other words, BIA aims to be the preferred solution provider for mining companies operating in West and Central Africa. BIA also guarantees to its clients the best productivity at low operating cost.

Because each client is unique and each project is specific, BIA offers to

BIA OVERSEAS SA

its clients a tailor-made approach.

BIA already employs more than 700 people in Africa. By the end of 2013 this number could top 1,000.

Among the BIA current staff, 75% are technicians and experienced engineers providing onsite support for client’s fleet of heavy equipment.

Such a support is there to guide the customers from the earliest stages of their projects. By planning, organizing

and controlling specific resources, BIA gives its clients confidence to make their project real and efficient.

BIA Overseas Avenue Einstein, 6F 1300 Wavre – Belgium T +32 10 23 45 00 Fax +32 10 23 45 00 www.biagroup.com

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CWI: World-Class Wire Solutions CWI is a premier producer of mild steel wire and wire products in South Africa

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on sol idated Wi re Industries (CWI) is co-owned by Arcelor MITTAL and The Industrial Development Corporation. Its manufacturing plant has been based in the industrial city of Vanderbijlpark since the early 1950s with the company employing in excess of 500 permanent staff.

The CWI product range is extensive.

Its products include nails, mesh fencing, barbed wire, high-tensile fencing wire, and wire for baling and binding. Most of the wire products have practical applications such as protecting,

“ CWI has one of the largest and most sophisticated wire galvanising plants in South Africa which is capable of producing high volumes of wire�

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enclosing, and fastening to assist a variety of sectors. In addition, CWI manufacturers a range of nails that are used by both formal and informal builders throughout southern Africa.

As can be expected from a worldrenowned organisation, all CWI products conform to national and international specifications. Products are sold in markets as diverse as Africa, Europe, the Far East, the Middle East, Australia, and Canada.

Its high-tensile Veldspan wire is one of the best-known products in its field.

Veldspan wire is used by various parks boards and private game farms to fence nature reserves.

CWI also believes in working closely with its customers to understand their specific requirements. As such, it provides an advisory service to farmers that involve fence erection, repair and maintenance, and the training of farm labourers. A technical advisory service is also provided thanks to the experienced staff of CWI. The latest technology wiredrawing

CWI

machines are used to produce hard drawn wire suitable for applications such as the manufacturing of nails and core wire for welding rods.

CWI has one of the largest and most sophisticated wire galvanising plants in South Africa which is capable of producing high volumes of wire. Its technology compares with the best in the world with the company able to reach galvanised coating of up to 366g/m2.

CWI is committed to ensuring that its products and service will meet or exceed the expectation of its customers.

The company aims to increase the efficiency of its activities and processes to the benefit of all stakeholders.

This is done by creating an environment that will enhance quality throughout its processes and continuously improving everything it does by applying quality management guidelines. It is committed to using new technology to continuously improve its processes and performance.

Consolidated Wire Industries (CWI) 6 Telford Street, Vanderbijlpark, 1911 - South Africa T +27 16 980 3111 Fax: +27 16 980 3291 Email: sales@cwi-wire.co.za www.cwi-wire.co.za

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proudly serving the PRECIOUS METAL Assaying, Smelting and Refining Industries since 1959

A 3rd generation family owned business with a proud and long standing tradition of being an innovator in the industry and a manufacturer of quality, reliable equipment and consumable products

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he “KEEGOR”® brand name is registered to Leonard Light Industries (Pty) Ltd, and has become synonymous with the quality, durability and efficiency that the precious metal Assaying and Refining industry demands of its suppliers, ensuring their integrity and reputation is upheld to the highest order (both as individual clients and as an industry combined).

Designing and manufacturing our “KEEGOR”® brand products, we have

“ We provide on-site start-up assistance and commissioning of our equipment on 6 continents” 188 | be directory

steadily grown to become a leading supplier both locally and worldwide.

We relish a challenge and recent unique milestone achievements include: • Design and commissioning of a multipour Assay Crucible system which pours a full furnace batch (up to 84 pots, dependent on size), in a single automated operation (simply at the push of a button). A single rig can service multiple furnaces, making it a cost effective option - especially for larger laboratories.

• Complete containerised gold mine laboratory installation.

We have a diverse range of products including equipment and consumables for Assay Laboratories & Smelting and Refining.

LEONARD LIGHT INDUSTRIES (PTY) Ltd

ASSAY LABORATORIES: • Assay Laboratory Equipment From small laboratory furnaces, consumables and hardware to complete containerised laboratories.

• Fusion Furnaces Electric, gas or diesel fired – in a range of sizes.

• Cupellation Furnaces Electric, gas or diesel fired – in a range of sizes.

• Sample Preparation Equipment Sample Drying Equipment, Crushers, Pulverisers, Sample Splitters.

• Consumables Cupels and other consumables.

SMELTING AND REFINING: • Calcining/Drying Ovens In a range of sizes and configurations.

• Smelting Furnaces From small gas/diesel fired Smelters to Induction and Arc Furnace Installations.

• Molten Metal And Slag Handling Equipment Bar Moulds, Slag Moulds and

Slag Granulation Systems.

Leonard Light Industries (Pty) Ltd P.O. Box 5080 Benoni South, 1502 Republic of South Africa T + 27 11 421-0711 / 2 / 3 E info@keegor.co.za www.keegor.co.za

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Excellent Minerals Solutions

Weir Minerals has a long history in mining and engineering

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he Weir Engineering firm was established in 1871 by brothers, George and James Weir. In 1996 the Weir Group expanded their Weir Minerals division’s offering, to the African market with the acquisition of Envirotech, which originally opened their doors in 1909 as Denver Machinery and again in 2008 with the acquisition of the CH Warman Pump Group, which was established in 1958.

Today, Weir Minerals is a specialist in delivering and supporting equipment

“ Weir Minerals have over 20 years’ experience in Ghana and across West Africa” 190 | be directory

solutions which includes slurry and mine dewatering equipment solutions, namely pumps, hydrocyclones, valves, screens, rubber, hoses and wearresistant linings for global mining and mineral processing, the power sector and general industry. Weir Minerals’ business is driven by our purpose and values and all of this is supported by a comprehensive aftermarket services team.

Our purpose is to work together to create engineering solutions, which help our customers deliver processes vital to society.

Forming part of a strong global company, Weir Minerals Africa has an unrivalled footprint across the African continent with a presence in Mozambique, Zimbabwe, Namibia, Botswana, the Democratic Republic of Congo, Zambia, Tanzania and Ghana and also extending to the Middle East.

Weir Minerals

With the current economic climate preventing customers from investing in big capital expenditure, we work closely with customers to devise solutions to their problems and plan ahead to add benefit to the customers’ growth and development requirements.

Our focus on offering the lowest cost of ownership and equipment rental options, support this philosophy.

Having over 20 years’ experience in Ghana and across West Africa, Weir Minerals have been partners to Golden Star Resources, Gold

Fields, AngloGoldAshanti, Iam Gold Corporation (Essakane SA), Randgold Resources, etc in mineral processing.

Weir Minerals West Africa Limited No. 4, 3rd Close, Airport Residential Area P. O. Box CT 3170, Cantonments, Accra, Ghana T +233 (0) 302 785105-6 www.weirminerals.com

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Included The BE Mining Directory showcases leading mining organisations from across the world, ranging from big corporations to junior mines and their supply chains.

Be seen throughout our portfolio of magazines: • BE Mining Directory • BE Mining • BE Weekly • BE Monthly •

To find out how to get involved contact: vincent@bus-ex.com