Supply Post East Sept 2014

INFRASTRUCTURE

ENERGY

EQUIPMENT

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Binational Panel Selected To Oversee NHL Venue To Be Lit With New LED Weighing The Risks Of Traditional Making Moves: Transporting Heavy New Can-Am Bridge PAGE 5 Arena Lighting PAGE 8 Used Equipment Auctions PAGE 10 Equipment PAGE 11

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September 2014

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Supply Post Central/Eastern Canada Edition · Our Readers Are Your Buyers

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Supply Post Central/Eastern Canada Edition · supplypost.com

ATTACHMENTS & MORE

September 2014

FLO Components Launches “Lube Basics” Seminars Automatic Greasing Systems specialist FLO Components Ltd. has announced the schedule for its 2014-2015 Lube Basics Seminars. Scheduled cities will include Kitchener, Mississauga, Sudbury and Thunder Bay. In a study conducted by a major component manufacturer, improper lubrication accounts for 53% of all bearing failures, a major cause of equipment downtime and significant unnecessary maintenance costs. According to FLO’s Marketing Specialist Gabriel Lopez, “FLO Lube Ba-

sics Seminars are designed to help you avoid common lubrication failures by turning your personnel into “Lubrication Specialists”.

“Each 1-day Seminar will have a balance of theory and practical - 50% of the time will be your traditional in-class training, 50% will be more ‘hands on’ training. These seminars are designed and presented as an unbiased, 3rd party, vendor neutral lubrication training program - we don’t bring people there to sell them on our products, we teach them what they need to know

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about dealing with everyday lubrication issues, so when they apply what they learn, their payoff is immediate and permanent.”

Some of the topics to be covered in the seminars include: • Basic principles of friction/wear, lubricants and lubricant types, • Grease properties/compatibility/applications, • Introduction to manual lubrication (fittings, calibrating grease guns, etc.), • Lubricant handling/ transfer and storage procedures, • General Automatic Lube System operation, inspection and troubleshooting procedures.

More information on the seminars can be found on FLO’s website: www.flo components.com. b

September 2014

Supply Post Central/Eastern Canada Edition · Our Readers Are Your Buyers

Binational Panel Picked To Oversee New Can-Am Bridge Canada and the U.S. have named the members of the international authority that will oversee the construction of the new publicly owned bridge connecting Windsor, Ontario, and Detroit, Michigan.

Canadian Transport Minister Lisa Raitt and Michigan Gov. Rick Snyder recently made the announcement in Windsor.

The Windsor-Detroit Bridge Authority (WDBA) will consist of: Kristine Burr (Chair) and Geneviève Gagnon of Canada and Michael D. Hayes, Birgit M. Klohs, and Matt Rizik of the US. A third Canadian member will be named later.

The group of six will Artist’s conception of the new Windsor-Detroit bridge.

oversee and approve key steps in the procurement process for the new crossing. It will also monitor compliance of the WindsorDetroit Authority with the crossing agreement, signed

by Canada and Michigan in 2012.

Raitt also announced appointments to the board of the authority: Michele (Michael) Cautillo, President and CEO. Cautillo is a civil engineer who has worked as a transportation specialist and partner in Deloitte’s Ontario Infrastructure Advisory and Project Finance group; Mark McQueen, Chair of the Board of Directors; William Graham, and Caroline Mulroney Lapham, daughter of former Prime Minister Brian Mulroney, as directors.

The Windsor Detroit Bridge Authority will be the manager of “all parts of the project” in Canada and the U.S. once it’s built, Raitt said. It will also set and collect tolls.

Canada has agreed to pay for construction of the bridge and will recoup its costs through tolls.

Last month, the longawaited binational border crossing obtained its final approval via permit from the U.S. Coast Guard after a U.S. court rejected a request for an injunction filed by the owners of the existing private Ambassador Bridge.

The next step involves securing funding for a U.S. customs facility, along with acquiring land on the American side.

A proposal to transfer 301 Detroit-owned properties to the Michigan Land Bank in exchange for $1.4 million from the Canadian government as part of plans for the crossing was delayed Monday, CBC reports.

Sources tell The Canadian Press the panel is expected to try to move the project forward, but the proposed New International Trade Crossing will still need $250 million in U.S. funding to build a new U.S. Customs and Border Protection plaza in Detroit.

If everything goes smoothly, the bridge is expected to open in 2020. b

Page 5

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Page 6

Supply Post Central/Eastern Canada Edition · supplypost.com

Forests Ontario Supports Fed’s Commitment To Forest Restoration Forests Ontario supports the Liberal government’s vision to ensure the long term health of the province’s forest resources. Our organization is particularly pleased to acknowledge the election commitment of Ontario Premier Kathleen Wynne to continue to work with municipalities and other partners such as Trees Ontario (the restoration arm of Forests Ontario) to maintain and enhance the province’s tree planting efforts across rural and urban areas.

Forests Ontario has extensive experience working with various partners

and landowners to enhance forests, and sustainable forestry, on all private lands across all of Ontario. In addition to our restoration (planting) efforts, Forests Ontario also promotes, and provides support for, the sustainable stewardship of forest resources to ensure they continue to contribute to the health of our environment for future generations.

Our education and awareness efforts help promote a factual understanding of our forest resources and their importance to the environmental and social well-being of our province,

our communities and our people. These efforts include working with public schools to bring forestry into the classroom as well as providing students with opportunities to visit, and experience firsthand the benefits of Ontario’s forests. Through such initiatives, Forests Ontario is working to connect our youth to the many values provided by our forests and to build their interest in natural resources and natural resource management.

Our organization looks forward to working with the Liberal government to help implement their vision for our rural and urban forest resources. For more information on Forests Ontario and our programs, please visit our website at www.forestsontario.ca. b

Sandvik’s Next Step In The New Generation Of Cone Crushers The launch of the CH540 and CH550 confirms Sandvik’s market leading position in cone crusher development. The wide performance range provides customers with adaptability and flexibility, with the crushers being able to be configured for either secondary or tertiary applications. “Our customers need to produce high quality aggregates in a cost-efficient way.” Explains Sandvik Construction, Product Line Manager, Martin Johansson.

“In order to optimize their business our customers require as few, and as short maintenance interruptions as possible; this is now achieved by the CH500 series that gives them a versatile cone crusher which combines a small carbon footprint with high performance.” So adds Martin Johansson, who continues, “Sandvik has developed the new CH500 crusher series based on valuable input from our customers. So as to

increase performance, while reducing weight and height, we had to optimize all our components – and the end result is remarkable.”

Excellence In EndProduct Quality And Crusher Performance In order to facilitate greater reduction ratios and productivity than previously possible, the new CH500-series comes with several market leading features: • Sophisticated design with remarkable capacity in relation to size.

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September 2014

Supply Post Central/Eastern Canada Edition · Our Readers Are Your Buyers

WestJet Encore Orders Five New Bombardier Q400 NextGen Aircraft WestJet Encore Ltd. has signed a firm purchase agreement for five Q400 NextGen airliners.

Bombardier Commercial Aircraft recently announced that Calgarybased WestJet Encore Ltd. has signed a firm purchase agreement for five Q400 NextGen airliners. This transaction is a conversion of a batch of five options booked by the carrier’s parent company WestJet and follows the first conversion of five option aircraft announced on March 27, 2014, bringing the number of option aircraft exercised to 10. The initial total of

25 option aircraft was part of the original contract announced on August 1, 2012 that included WestJet’s firm order for 20 Q400 NextGen airliners.

Based on the list price of the Q400 NextGen airliner, the transaction announced is valued at approximately $167 million US. “With 13 Q400 NextGen aircraft now in service in just over a year, WestJet Encore’s inaugural year has been a success,” said Bob Cummings, Executive

Bobcat And Doosan Open Acceleration Centre For Advanced Innovation Bobcat Company and Doosan recently opened the doors to their new Acceleration Centre, ushering in a generation of advanced product innovation and accelerated learning to benefit customers, dealers and employees worldwide.

The facility — located within Bismarck, North Dakota’s Northern Plains Commerce Centre — will be home to 175 individuals tasked with initial design, prototype engineering, prototype manufacturing, computer simulation and testing of ideas and concepts. The Acceleration Centre becomes a key engineering facility for all Bobcat compact equipment distributed globally, and it will help serve some of Doosan heavy equipment’s research and development needs for the North American market.

The $28 million project involved expansion of an existing building to include office and lab space, classrooms and demonstration areas, and both indoor and outdoor machine opera-

tion areas. The facility has two stories and 190,000 square feet under roof, with an additional 22 acres of outside test and product development space. A collaborative open office environment is equipped with modern devices, tools and software systems that expedite leading-edge engineering, and product and process development.

A dedication ceremony and open house on August 5 featured remarks from Rich Goldsbury, President of Bobcat Company and Doosan, North America; North Dakota Gov. Jack Dalrymple; U.S. Sen. John Hoeven; U.S. Rep. Kevin Cramer and Bismarck Mayor Mike Seminary.

The Acceleration Centre’s grand opening came just a month after Bobcat Company celebrated its millionth-loader milestone — a celebration that was themed “Unstoppable.”

Bobcat reached 500,000 loaders in 2001 and 750,000 in 2008; now one million Bobcat loaders just six years later.

Vice President, Sales, Marketing and Guest Experience, WestJet. “We are marching towards connecting more Canadians from coast to coast to more than 85 cities we serve, as well as our growing network of interline and codeshare partners. With the guest response we are seeing for WestJet Encore, we have confirmed five more option orders and look forward to saying ‘welcome aboard’ to even more guests in the future.”

“We have momentum,” Goldsbury said. “We are investing in our innovations and technologies, and in our facilities and our people. That’s what this particular facility is all about: momentum and acceleration. Bobcat will continue to be an unstoppable force in the industry, and Doosan will continue to grow into a premier heavy equipment brand in the North American market.”

The company broke ground on the Acceleration Centre project in May 2013. The entire project — including the original building built in 2005 — capped a total $43 million investment by Bobcat and Doosan in the Northern Plains Commerce Centre in Bismarck. Bobcat Company also has an attachments production facility in Bismarck, and its manufacturing, production control and logistics group has been there since 2012.

“We built the compact equipment industry and continue to set standards, and reach milestones no other manufacturer can match — and that was all accomplished right here in North Dakota,” Goldsbury said. b

“WestJet Encore has built a brand that consistently delivers on the WestJet promises of reliable, cost-efficient service in expanding communities and we are thrilled this iconic Canadian airline has placed another firm order to expand its fleet to 30 Q400 NextGen aircraft,” said Ryan DeBrusk, Regional Vice President, Sales - North America, Bombardier Commercial Aircraft.

“The addition of more Q400 NextGen turboprops speaks to the aircraft’s superior economics, outstanding fuel economy and excellent passenger comfort that have given Encore the flexibility to service a number of new routes and airports.”

“In just under four months, WestJet Encore has exercised a total of 10 Q400 NextGen option aircraft – thereby exemplifying the needs of today’s growth-minded airlines looking for the perfect balance of operating economics, flexibility, passenger comfort and unsurpassed environmental credentials,” said Ray Jones, Senior Vice President, Sales, Marketing and As-

set Management, Bombardier Commercial Aircraft.

“Already recognized for efficiency on short-haul missions, WestJet Encore’s Q400 NextGen aircraft are using their jet-like speeds to feed WestJet’s mainline operations with reliability that’s remarkably high and amongst the best in the worldwide fleet. All this has been achieved in WestJet Encore’s inaugural year, so I’m delighted to offer hearty congratulations to the entire team on this accomplishment.”

WestJet Encore launched in June 2013 operating 10 departures daily to two destinations with two Q400 NextGen aircraft and 131 employees. Today, it operates 90 departures daily from hubs in Calgary, Alberta and Toronto, Ontario to 19 destinations with 13 Q400 NextGen aircraft and approximately 500 employees. The airline has announced plans to introduce service to Québec City, Québec; Fredericton, New Brunswick and Penticton, British Columbia in 2015.

About Q400 NextGen aircraft Optimized for short-

Page 7 haul operations and capable of seating up to 86 passengers, the Q400 NextGen aircraft is a large, fast, quiet and fuel-efficient turboprop. It provides the perfect balance of passenger comfort and operating economics with a reduced environmental footprint.

The Q400 NextGen aircraft is the fastest newtechnology turboprop, providing both jet speed and turboprop fuel efficiency.

The aircraft’s economics and operational flexibility allow airlines to profitably deploy it in a variety of ways to serve typical shorthaul turboprop routes, as well as medium-haul jet markets.

Bombardier has recorded firm orders for a total of 506 Q400 and Q400 NextGen aircraft. Worldwide, Q400 and Q400 NextGen aircraft have transported more than 295 million passengers and have logged over 4.7 million flight hours and more than 5 million take-offs and landings. The Q400 and Q400 NextGen aircraft program includes over 50 customers and operators in approximately 40 countries on five continents. b

Page 8

Supply Post Central/Eastern Canada Edition · supplypost.com

Ottawa Senators To Take The Ice Next Season Under LED Arena Lighting After successfully illuminating more than two dozen indoor and outdoor sports and entertainment venues across North America with its revolutionary LED arena and stadium lights, Ephesus Lighting has been selected as the lighting solution at Canadian Tire Centre, home of the National Hockey League’s Ottawa Senators, making it the first NHL venue to be lit with Ephesus LED lights.

“Sports and entertainment facility operators appreciate that LED lighting is the natural evolution of arena and stadium lighting because it provides an optimal stage for events in person and on high definition television,” explained Amy Casper, CEO of Ephesus Lighting. “The success of our lighting solutions and testimonials from fans, players, broadcasters and facility operators reinforce this fact and prove that LED is ready for the big leagues.”

Canadian Tire Centre

tically maintenance free.

But most importantly, our fans at Canadian Tire Centre and watching at home will clearly see a better game. Additionally, this new lighting system will allow our game entertainment team to create an enhanced presentation and better fan experience.”

Canadian Tire Centre will replace its metal halide system with the Arena 600 and Arena 300 lights and the Ephesus wireless control system, which allows them to control the lights and create unique fan experience effects. Despite reducing the number of fixtures by more than one-third, the Ephesus lighting solution will dramatically increase light intensity and uniformity and yield a projected energy savings of more than 70%.

Ephesus manufactures the brightest LED on the market and is the only arena-designed lighting solution certified under Design Light Consortium’s (DLC) quality, performance and energy efficiency requirements. The DLC certification enables facilities to receive energy incentives from utility providers. b

is a multi-purpose arena located in the suburb of Kanata, in Ottawa, Ontario. The 19,153-seat venue also hosts a variety of other major events including the best in music, sports and entertainment.

Ephesus was selected after facility operators conducted an extensive side-by-side test with three other lighting companies offering LED solutions. The Ephesus Lighting solution dramatically exceeded all others in every category including amount of light reaching the ice surface, light uniformity, ease of installation and instant on/off capabilities.

“In our side-by-side test, it was clear that the Ephesus Lighting solution made the most sense to us for a variety of reasons,” said Tom Conroy, VicePresident & Executive Director at Canadian Tire Centre. “Our facility operators will benefit from the versatility of the system and the fact that it is prac-

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Shell Welcomes Joint Venture Partners To Offshore Nova Scotia Project The agreement reached between the three companies involves Shell farming down non-operated equity in its Shelburne Exploration Licenses, offshore Nova Scotia, Canada. Shell will maintain a 50% interest and remain operator. ConocoPhillips will acquire a 30% non-operating interest and Suncor will acquire a 20% non-operating interest.

“With ConocoPhillips a leading global deepwater company and Suncor one of Canada’s largest energy companies with extensive Atlantic Canada offshore experience, we look forward to their involvement

in the venture,” said Mark Shuster, EVP, Shell Upstream Americas Exploration.

Shell’s six Exploration Licenses (ELs 2423, 2424, 2425, 2426, 2429 and 2430) cover a contiguous area of 19,845 km² about 300 kilometres offshore of Nova Scotia. They are located in water depths of between 500 and 3,500 metres. Shell acquired the first four exploration licenses in 2012 and the other two in 2013 for a combined “Work Expenditure Bid” of $CAD998 million. The exploration licenses are good for a period of six years.

A Comansa Jie Tower Crane In The Pool Luxury hotel “The Royal Garden” in Hong Kong is located in Kowloon, an urban and modern district with one of the highest densities of population of the world.

This 5-star hotel is a haven of peace in a fullof-life atmosphere, with narrow streets crowded with people and traffic.

It is precisely this environment which meant a great challenge for the company Teamfield Building Contractors Limited, responsible for the extension works of the hotel, which will grow from the current 12 floors to 15 floors by the end of the year. Due to the requirements of the project, it was necessary to have a tower crane on the roof, but the height of the building and the narrow streets surrounding the hotel were quite an impediment to erect it.

At this point, the work of Linden Comansa’s official distributor in Hong Kong, Proficiency Equipment Limited, was essential in order to move in the right direction. Proficiency Equipment worked closely with Teamfield to understand their needs, evaluate the difficulties of the environment and

come up with the solution to all the problems.

On the one hand, Proficiency Equipment supplied to Teamfield a 10CJ140 tower crane from of Comansa Jie, Chinese subsidiary of Linden Comansa. Its modular and lightweight sections and components ensured a quick and easy erection, and by its technical features (maximum load of 8 tons), the crane was the ideal for the work on the roof of the “Royal Garden” hotel, whose business will remain running during the entire construction progress.

And on the other hand, their experience in lifting jobs allowed Proficiency Equipment to devise a crane assembly system that was economically viable and that could follow a planned sequence to the millimeter, as due to problems with noise and traffic, they could only work from Monday to Friday from 10 am to 4 pm.

For the erection of the tower crane, two derrick cranes with 1 and 5 tons of maximum load capacity respectively were mounted on the roof. These two cranes were used to lift, from

September 2014 Shell conducted the first 3D Wide Azimuth Seismic (WAZ) Survey to be conducted offshore Canada last year, successfully acquiring 10,850 km² in one season. Although the venture team planned to acquire the seismic data over a two-year period they were successful in completing the survey in only one season, saving the company both time and additional costs.

The company will be conducting a seabed survey this spring to build upon the data acquired from the 3D WAZ seismic survey to further assess potential drilling locations for drilling. Pending regulatory approval, Shell anticipates starting drilling two wells in the second half of 2015. b the side of the building, the components of a 16 ton roof crane, which once assembled, served to erect the Comansa Jie 10CJ140 tower crane.

The tower crane was required to sit over the roof without any hole drilling on the permanent structure. Therefore, a 6 meter folding cross base was placed inside the rooftop pool, saving a 1.27 meter drop in the swimming pool by using support pieces and leveling the base using the heightadjustable pyramids.

When a few tower sections were assembled, a hydraulic jacking cage was added to the tower, and finally the different sections of the rotating part were added.

For all these tasks, from the assembly of the first derrick to the erection of the Comansa Jie 10CJ140 tower crane, it only took 28 days, thus meeting the deadlines set during the planning. According to Paul H H Hung, Operation and Marketing Manager of Proficiency Equipment, this assembly has brought about interesting lessons.

“Teamwork between all stakeholders has been fundamental to come up with the best solution. In addition, we have had to negotiate with the authorities and managed a very tight plan. The experience has been a little stressful but very satisfactory for all parties”. b

September 2014

Supply Post Central/Eastern Canada Edition · Our Readers Are Your Buyers

Pitbull 2300 Event Demonstrates Screener Lake Erie Portable Screeners recently teamed with New Yorkbased rental company Supply Wagon Rentals to provide free demonstrations of the Pitbull 2300 commercial-grade portable screener.

Bob Varin, owner of Supply Wagon Rentals, organized the three-day event to show his client base the Pitbull 2300’s ability to efficiently and effectively screen topsoil, rock and other quality materials.

“I had another soil screener that didn’t compare to the Pitbull,” he said. “It’s very easy to operate, the maintenance is simple, and it’s very easy to transport,” he added.

The event gave more than 100 contractors, landscapers and other industry professionals an opportunity to screen materials with the Pitbull 2300. Varin supplied the topsoil for the demonstration.

Lance Conley, Pitbull 2300 dealer and master product distributor, said, “The owner of Supply Wagon was able to showcase his rentals, and everyone had a chance to use the Pitbull. We focused on the quality of material and made 3/4inch topsoil. Bob sold it before the demonstration was over.”

The event also demonstrated the durability and portability of the Pitbull 2300. “The Pitbull 2300 stands up to the day-today use by contractors,” Varin said.

Lake Erie Portable Screeners manufactures the Pitbull 2300 with high-quality, structural tube steel, which reduces noise and vibration and minimizes the risk of structural failure common in C-channel frames.

With its power-assisted hydraulic axle and park jack that users can operate from the control pan-

el, the Pitbull 2300 is also easy to transport. “Within five minutes, we can pick it up and move to a different location, hit all the grease fittings, set up and be ready to go. That’s a huge benefit for the rental industry,” Varin said.

“The Pitbull 2300 takes less than 30 minutes to set up, while competitor units I’ve used can take more than four hours.”

The Pitbull 2300’s upper and lower screening decks feature versatile screens that can be changed in less than 30 minutes and enable users to process up to three sizes of material. Users can screen a variety of materials, including topsoil, gravel and mulch, which helps increase profitability and return on investment.

In addition, they can repurpose material instead of having to purchase new quality material.

Lake Erie Portable Screeners often offers free demonstrations of its Pitbull 2300. In addition to seeing how the unit operates, attendees learn how easy and inexpensive it is to maintain.

“We were very pleased with the results. We got

machinery rentals from it. We screened a lot of soil and once it’s all sold, it will cover the cost of the event,” Varin said.

“A lot of people were interested in renting a Pitbull, so I definitely think carrying Pitbull would be a benefit to my company and customers.”

Lake Erie Portable Screeners designs, en-

Page 9

gineers and manufactures versatile, heavyduty, commercial-grade screeners and related equipment at its headquarters and manufacturing plant in Lake City, Pennsylvania. With 35 years of construction equipment manufacturing experience and expertise, the company understands the con-

struction business and knows how to engineer products that will last under the toughest working conditions. Its durable and versatile Pitbull 2300 screens a wide range of materials, such as soil, mulch, asphalt, stone and gravel for use by landscapers, energy facilities, contractors and municipalities. b

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Page 10

Supply Post Central/Eastern Canada Edition · supplypost.com

One source for fleet management is auctions, both traditional onsite and more recently online.

Weighing The Risks Of Traditional Used Equipment Auctions Having the right equipment on hand is essential to managing a fleet. One source for fleet management is auctions, both traditional onsite and more recently online. When electing to use an auction for both disposal and acquisition of fleet, it is important to weigh the pros and cons of the auction service. Traditional auctions can be infrequent and far away, adding both hassle and cost to the equipment acquisition pro-

cess. And for those selling equipment, it’s important to get a favourable return, which can be difficult to guarantee with these auctions as the buyer base is limited to the local market.

To encourage smarter buying and selling, equipment owners should understand the risks associated with traditional auctions.

Disadvantages to buyers: Trouble finding the right equipment Finding the best equipment for your business

can be difficult when buying at a traditional auction because it may have a limited selection of heavy equipment. Online marketplaces feature a wide variety of equipment from sellers around the world.

This allows buyers to find items that are the best fit for their specific needs.

Online marketplaces are easy to navigate and can be easily tailored to search for equipment based on sector, type, auction date and more.

Difficulty accommodating tight schedules The opportunity to buy equipment at a traditional auction may only occur a few times a year within a buyer’s area and may not meet the timing of their business needs. With an online marketplace, buyers can purchase equipment at times that fit their schedules because these auctions occur more frequently. Online auctions are also more convenient because buyers can access them from their computers, tablets or mobile phones. Buyers no longer need to travel to auction sites to view and bid on equipment, which saves time and money. In turn, these savings give buyers more room within their budget to bid on equipment.

Limited transport transparency The cost to transport an item can sometimes exceed the price paid for the machine. Thus, equipment buyers want to have an estimate of their transport costs before bidding on a machine at auction so that they can make smarter business decisions. Traditional auctions can be unaccommodating in providing cost-effective options that buyers can vet ahead of bidding. In comparison, some online auctions will provide a list of transportation providers that have been properly vetted to ensure a safe, reliable and proven transportation service.

September 2014

Lack of detail At a traditional auction, there may not be ample room or time for a buyer to thoroughly inspect the equipment including overall condition and functionality. Online auctions can provide professional inspection reports that detail the equipment’s condition, features and include numerous photos to give buyers a more accurate state of the machine. Often, the online inspection reports provide more information than buyers can obtain at traditional auctions. Some online marketplaces also preview equipment weeks before the auction to provide potential bidders time to review the equipment reports. A thorough review of the equipment increases confidence in purchasing online.

Limited support Traditional auctions don’t keep detailed records

of all attendees, just the final buyer. In comparison, online marketplaces capture information and use it to nurture bidder relationships. These data-driven marketplaces have the ability to reach out to bidders who lose out on a piece of equipment when a similar machine is listed for sale in an upcoming auction.

Disadvantages to sellers: High transport costs Paying to transport equipment to an auction reduces a seller’s final net proceeds. Online auctions connect sellers directly with buyers, eliminating the need to move equipment to an auction site.

Online auctions also reach buyers around the world, providing a larger buyer base to drive higher prices.

Infrequent Sales The traditional auction process also results in slower time to cash beContinued on page 11

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September 2014

Supply Post Central/Eastern Canada Edition · Our Readers Are Your Buyers

Making Moves: Transporting Heavy Equipment Heavy equipment certainly lives up to its name. Equipment such as forklifts, cranes and telehandlers can weigh tens of thousands of pounds.

Therefore, getting heavy equipment from point A to point B can be a costly and complicated process.

Sellers today are looking for convenient ways to dispose of their used equipment without breaking the bank. Understanding the transportation process will help both sellers and buyers in Canada make better informed decisions about equipment disposal and acquisition.

The Traditional Route For many years, sellers depended on physical auctions to dispose of their used equipment. However, transporting equipment to the auction site can be a logistical nightmare. Auctions are not always held within a reasonable distance from the seller’s location and may only be arranged a few times a year.

Thus, sellers must coordinate to have equipment moved to the auction site at their own expense.

Although there isn’t a “single price fits all” standard based on the type of equipment a seller is transporting, there are a few things every seller should know. Smaller equipment is typically transported at a lower price than larger equipment. On any given day, moving items over 80,000 pounds can easily cost $12-$18 per mile or more. Several additional

factors can drive prices even higher, including: 1) transporting to or from a remote location, 2) a highly specialized load (high, wide and heavy) and 3) a tight timeframe. A seller facing any of these issues can rack up a transportation bill of several thousand dollars.

Once a seller has spent money transporting equipment to auction, the last thing they would want is for the item not to sell. If this occurs, the owner must then pay to ship the equipment back to its original location or incur storage costs until the equipment can be sold at the next physical auction. If the machine is sold, the buyer is then responsible for paying to transport it to their own site. In some cases, the buyer and seller may be located near one another, meaning the equipment is moved in the same direction from which it came.

This inefficiency can add thousands or tens of thousands of dollars to the price of a machine.

Difficult Transportation Heavy equipment transport is highly specialized and requires carriers to account for numerous variables, including permits, special routing and escort/ pilot cars. Sometimes, very large pieces of equipment need to be taken apart to alter the dimensions or weight during transport.

Then, they must be reassembled upon arrival at the final destination. Canada’s weather can also present

challenges in the form of extreme winter conditions and seasonal road bans in the spring.

Routes on roads with only a few lanes, icy conditions and prevalent wildlife can make transportation especially difficult. Highway 63 (nicknamed the “Highway of Death”) is the only major highway connecting Alberta’s oil sands to the rest of the province and serves the entire population of Fort McMurray. For the majority of its 443-kilometre stretch, Highway 63 is a single-lane highway and is notorious for its high-traffic conditions, many fatalities, wide-loads and unsafe weather conditions.

Reducing Sellers’ Costs To help save time and money, sellers should identify ways to reduce travel burdens. Sellers can eliminate the unnecessary middle part of the traditional transportation process by moving equipment directly to the buyer. To avoid transportation to a physical auction site and sell used equipment from its current location, sellers should use a reputable online marketplace. This is the most efficient method because qualified inspectors visit the equipment at the seller’s site and then provide images and detailed equipment descriptions to buyers. The seller doesn’t have to worry about infrequent auction schedules, a complicated transportation process or unsatisfactory buyer turnout.

Page 11

Added Transparency for Buyers For used equipment buyers, the cost to transport an item can sometimes exceed the price paid for a machine. Thus, it’s best if buyers can determine potential transport costs prior to bidding.

Yet, many auctions organizers don’t provide transparency about transport costs in advance because they may scare buyers off or prevent them from

bidding at higher prices.

If they provide transport options to use once a sale is complete, it can be difficult for buyers to know whether these providers have been properly vetted. They take the risk that these companies are qualified to move their newly purchased equipment.

Buyers can eliminate concerns by using an online marketplace that provides transportation costs in advance. This allows inter-

ested buyers to determine whether or not they want to bid. The marketplace should also work with high quality transportation providers to ensure drivers are qualified, professional and safe. With multiple carrier options to choose from, buyers can find the best option by analyzing price, experience and other factors, and eliminate the typical transportation hassles. b

By Jeff Cox Jr., President, VeriTread

Continued from page 10

which can result in low attendance. A seller may have to sell the equipment below fair market value or may not even find a buyer.

In the event that equipment is not purchased, sellers must pay to transport equipment back to their site or pay for storage near the auction lot and wait for the next selling opportunity. Online auctions are a great solution for sellers because they reach a larger pool of global buyers and eliminate local buying slumps and distance and language barriers.

Online auctions reach people around the world and continue to increase in popularity among equip-

ment buyers and sellers.

Buyers are provided greater insight into the condition of equipment, flexibility to bid from anywhere in the world at any time, and eliminate the steep costs of travel to a traditional auction. Sellers are offered a cost effective way to sell equipment on their own schedule and save time and money in attending traditional auctions. Faced with the many risks of attending traditional auctions, online auctions are providing a more economical and efficient way to buy and sell equipment. b

By Sue McGregor, Managing Director of Canada, IronPlanet

cause of infrequent auction schedules. The lack of frequent sales forces equipment owners to hold fleet longer than their business needs require, tying up capital that could be utilized for current work.

When selling online, owners can choose to sell their fleet when the timing is right for their business.

Difficulty finding the right buyer Sellers take a risk transporting their equipment to a traditional auction in hopes of finding the right buyer. Traditional auctions run the risk of poor weather, lack of promotion or buyers’ busy schedules,

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Page 12

Supply Post Central/Eastern Canada Edition · supplypost.com

Front Page Story

Yukon Gold!

Christie family continues to find pay dirt at placer mining operation.

W

hen Jim Christie was earning a geology degree, he never thought about being in the goldmining business. After graduating from the University of British Columbia, he became an exploration geologist, working with established mining companies and privately with other geologists.

“I worked all over North America, primarily on the West Coast,” said Christie, patriarch of the

Gimlex Gold Mines family business. “Wherever there were items to be prospected for, that’s where I went. I came to the Yukon with my family in the early 1980s because I was consulting for a company that was starting a placer mine.

I got hooked.”

So did Christie’s family members, who are involved in all aspects of the business, including his wife, Dagmar, his daughter, Tara, and his son,

Sheamus. Tara, who has a master’s degree in geological engineering, is Gimlex’s President. Currently, the family operates a placer mine at Indian River.

“Placer mines differ from conventional mines in that the ore is not in solid rock,” explained Tara.

“Weathering has liberated the gold and gravity has transported it downslope.

That results in concentrations of heavy minerals, and gold, being the heavi-

est, concentrates best. So, what we’re mining are naturally formed concentrations of gold that occur on or near the surface as opposed to being locked in bedrock.”

“Our operation involves sluicing, which is running water and pay dirt through a sluice box,” Jim added.

“In essence, it’s the same principal as what you see in the old movies with prospectors sluicing and panning for gold, but utilizing modern, heavy equipment to process pay on a much larger scale. At Indian River, we don’t get many nuggets. In fact, much of the gold is very fine-grained and mixed with small particles of other heavy minerals, so it is an intensive process to separate the gold. When all is said and done, we’re producing bars of gold that are usually 82to 84-percent pure.”

“Initially in 1984, I and a group of other geologists and miners were looking for a placer mine project of our own and found one at Mariposa Creek about 100 miles from Indian River,” said Jim. “We were still based in Vancouver at the

time, and the family would come up and visit. They got into it too.

“That year, we purchased a new Komatsu D155 dozer and a second new D155 the following year. These were the first Komatsu machines in the Klondike.

Second mine “In 1993, we found a spot at Dominion Creek, and a year later we were in business as a family with our first placer mine,” Jim continued. “Our equipment included a D155 and two D355 dozers and two WA600 loaders. In 1996, we brought the first D475 dozer to the Yukon. After about 10 years, the mine had run its course, and we moved to our present location.”

Gimlex Gold Mines’s location at Indian River is about 70 kilometres southeast of Dawson City. During peak production season, which generally runs May to October, Gimlex Gold Mines employs about 15 full-time staff, including Foreman Jason Wyatt. It’s a remote location, but the Christies know that goes with operating a placer mine.

“We enjoy the self sufficiency and independence; for example, we generate our own power,” said Dagmar, who was a pharmacist and says the goldmining operation has few similarities to her previous career and is physically harder and more demanding. “We’re isolated, and

September 2014 we shut down for a significant portion of the year because it’s too cold and the ground is too frozen to work. Jim and I adapted to the lifestyle, and the kids grew up with it. We enjoy it, especially because our entire family is involved and committed to it.”

Ten years ago, Tara served as the youngest and first female President of the Klondike Placer Miners’ Association. At that time, Gimlex operated its mine in the Dominion Creek area — about 20 miles from Indian River — that has since ceased operation.

“Each of us has our particular role to play,” said Sheamus, a certified heavy-duty mechanic, whose main responsibility is maintaining the more than 100 pieces of equipment Gimlex Gold Mines uses.

“At the same time, we’re all willing to do whatever is necessary to make the operation work. We can all operate equipment if necessary.”

Komatsu equipment stands out Gimlex Gold Mines’ equipment fleet has nearly 20 pieces of Komatsu equipment. It uses two D475 dozers to remove 10 to 12 feet of organic overburden, which consists of peat and silt, to reach what’s known as the “pay zone” where gold can be found. It also relies heavily on Komatsu WA600-1 and WA600-3 wheel loaders during sluicing.

Continued on page 14

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september 2014 · page 13

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(2) TTS Trenchers, rebuilt fuel tank, new hyd. pump, 550 hp Excavator Mulcher, clean fix reversing fan. 2003 Slinger body for sale, discs. $55,000. Quesnel, BC. 200 Hitachi Forester with $89,000. Quesnel, BC. serial #04MO3272 M-17 phone: (250) 992-7959 phone: (250) 255-8037 Multiple machines with 3406 CAT power pack, Bay lynx, fully operational, Advertise your machine in contracts in place! 1975 7,600 hrs. low hrs, $21,000 OBO. Call the classifieds! Call Tanya C a t e r p i l l a r D 9 H , a l s o www.carbonbite.ca today for deadlines & rates. Steve or Ray. D355A Komatsu, 325BL phone: (403) 358-7762 phone: (250) 474-5145 TANYA: 1-800-663-4802 hoe, Terratech mounder on 648D JD, 2000 660C equipment in the future.”

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Airport in Saudi Arabia, two Sany cranes are working day and night. Sany’s STC250 and STC750 successfully completed the lifting tasks in the harsh weather conditions.

The first-stage project costs 5.3 billion dollars, occupies an area of 106 square kilometers, and is the largest airport in the world. It’s capable of allowing 20 Boeing 747 airliners and 26 planes of other brands at the same time. Its designed annual capability is 0.9 million times of taking-off and landing and transporting of 30 million passengers.

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equipment. Sany’s cranes can work more than 10 hours a day under such harsh weather conditions, which wins the recognition of the management of Al Areedh.

“The Sany STC750 crane, in particular, has a high-performance of suspension load. Its electrical landing legs make it easy to use the equipment,” a director of Al Areedh Company said. When lifting three tons of steel at the airport, Sany cranes performed wonderfully with stable lifting, smooth shifting, exact placing, as well as scientific and reasonable lifting processes.

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By the end of last year, Sany had been entered Saudi Arabia for nearly three years, it had sold nearly 500 units of cranes with a total value of more than 800 million yuan, accounting for over 40% of the market share in Saudi and becoming the sales champion of cranes in Saudi for three consecutive years.

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deeply amazed and gave the company a thumbup. “This is the most advanced plant in the world we have seen.”

During the visit, an all-round operator from Al Areedh jumped on a SRC550 rough-terrain crane to rigorously test lifting performance. Finally he said, “Performance of the device is very good.

No problem.”

Al Areedh undertakes purely key projects often with several hundred cranes working in one construction site at the same. The cranes tailored for Al Areedh by Sany have been applied on a large scale with an excellent performance and with the benchmark brand, attracted frequent attention from other customers. Over the years, more and more customers from the Middle East are attracted by its reputation to visit Sany’s industrial park in Ningxiang and give their first China order to Sany. b

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Continued from page 12

“We generally buy all our big iron used, and I prefer to go with Komatsu because our experience tells us it’s going to be productive and reliable long term,” said Sheamus. “We purchased our D475-3 a few years ago with 17,000 hours and it now has 30,000 hours. We rebuilt the engine at 22,000 hours.

There was only minor wear in the top end, with little wear in the bottom end. We had an exchange power module waiting to go in and decided at

Supply Post Central/Eastern Canada Edition · supplypost.com

27,000 original hours that we should put it in, even though the module was still working great.

This was the first time we had to work on the power module, other than scheduled services and a new hydraulic pump at 18,000 hours. The Dash-2 model we’ve been running for years has given us similar results. The D475s are basically in production all the time, either stripping, ripping or pushing up pay.

They’re the most critical machines we have. They are high-hour machines,

and we’ve replaced or rebuilt various components, but they continue to produce and have good reliability.

“During sluicing we’re running water and 200 to 350 yards of pay an hour through the plant for about 40 hours straight before stopping to clean it out,” explained Sheamus. “The WA600s are running flatout constantly during that time, and we’ve never had a major issue with them, which says a lot about Komatsu’s quality. The Dash-1 has about 70,000

hours on it, and I think that speaks for itself.”

Additional Gimlex Gold Mines machines include Komatsu PC15, PC60, PC200 and PC400 excavators and D85, D155 and D275 dozers. “I’ve always believed that Komatsu is well ahead of the competition in terms of design and capabilities.

For example, in the D475s the blade is farther out in front, which means the operator doesn’t have to get as close to the edge with the tracks when operating off a soft pile.

What really puts Komatsu at the top of the list is its power, especially the Komatsu loaders. It’s a huge difference compared to other brands we have tried.”

Because of Gimlex Gold Mines’ remote location, Sheamus and other staff handle nearly all maintenance, including machining and fabricating. “We’re set up to rebuild cylinders and other components, and we also make our own hoses.

In fact, others come to us to have hoses made. We also have a large parts inventory, some of which comes from SMS Equipment, and we occasionally buy re-

man parts from them. SMS provides help as needed, and we’ve built good relationships with (President) Bruce Knight, (Operations Manager) Mike Campbell and our Product Support and Sales Representative Lance Madore. George Oud at the Surrey branch is a great resource for parts and Gerry Giese in Edmonton provides exceptional technical support.”

Environmentally sound practices Gimlex Gold Mines maintains the access road into the mine, as well as the land within the mine itself.

In total, it has 177 placer claims, which are generally 500 feet by 2,000 feet each.

“We take a very environmentally friendly approach,” said Tara. “For example, we have settling ponds that hold sediment, and none of that is released back into the stream or anywhere else. It’s a totally enclosed process.

We’re actually operating well above the standards in our licensing.”

Tara helped found the Yukon Environmental Socioeconomic Assessment Board and also works with several associations, including chairing the Lands Committee of the

September 2014 Prospectors and Developers Association of Canada.

She’s been appointed by the federal government to serve as Chair of the Yukon Salmon Committee.

She and the Christies will continue their environmentally sound approach going forward, as the company continues drilling to locate gold sources on its claims.

“It takes a great deal of planning ahead to identify where to move next,” said Jim. “We’ve become very good at that through the years as we’ve gained more and more experience and operations have expanded.

We’re always looking to the future.”

“We’re hopeful that includes a third generation in the business,” commented Dagmar. “Tara and Sheamus are doing a terrific job of basically running operations now, and that bodes well for the immediate future. Sheamus’ family is not on-site until school is finished, but they come out for a couple months every summer, and his kids already know how to run equipment, so it’s possible someday they’ll join the family business, too.” b Story and photos courtesy SMS Equipment

September 2014

Supply Post Central/Eastern Canada Edition · Our Readers Are Your Buyers

Case, CNH Partner With Group To Plant 500 Veggie Gardens The Victory Garden Initiative is taking on food sustainability – one garden at a time. The 6th Annual Victory Garden Blitz, held May 10-24, provided 500 raised-bed gardens to people in the Greater Milwaukee area. Upon completion of this year’s event, the Victory Garden Initiative will have installed more than 2,000 gardens for communities throughout Milwaukee.

The inspiration for the Victory Garden Initiative came from WWI and WWII, where communities built gardens to be self-sustaining, focusing other available resources towards the war effort. Today, the mission focuses on empowering communities to grow their own food and “re-establish the relationship between human and food ecology.”

CASE Construction Equipment and CNH Industrial are two of many partners of the Victory Garden Blitz.

“At CASE Construction

food. We are so thankful for their on-going partnership.”

The gardens are made possible with a $160 donaEquipment, we acknowl- tion or sponsorship. Each edge the benefits of creat- garden is 4 feet by 8 feet and ing more sustainable com- includes a full installation munities,” said Jim Hasler, Vice President, CASE Construction Equipment – North America. “The Victory Garden Blitz is an important event that not only promotes a healthier lifestyle, but empowers community members to come together for a common goal. We wouldn’t miss the opportunity to participate and once again give back to our community.”

In addition to financial sponsorship of the Victory Garden Initiative, the manufacturer donated the use of an SV300 skid steer for the event.

“CASE has been an incredible partner for the Blitz,” said Victory Garden Initiative Director Gretchen Mead. “They offer dozens of volunteers, a skid-steer and resources to ensure we can successfully install hundreds of gardens at or below cost to anyone in Milwaukee that wants to learn to grow their own

as well as new soil from local composters. Volunteers install the gardens in backyards and front yards of homes, schools, community centres and more.

The Victory Garden Initiative promotes a sus-

tainable food system by building communities of people who grow their own food. The scope of Victory Garden’s educational programs and urban agricultural projects encompass a complete cycle: from

- Air, sea and ground transportaaon service available; - Comprehensive warehousing and distribuuon services;

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Page 15 soil, to seed, to plate, and composting back to soil.

Find out more at www. victorygardeninitiative.org.

For additional information about CASE Construction Equipment, visit CaseCE. com. b

Page 16

Supply Post Central/Eastern Canada Edition · supplypost.com

September 2014

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