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Former Cat longwall business sold to Hauhinco finally emerges as HBT

Posted on 9 Feb 2023

Following the initial news that broke almost exactly a year ago in February 2022 that Caterpillar was divesting its underground coal longwall business to water hydraulic systems major Hauhinco Maschinenfabrik based in Sprockhoevel, North Rhine-Westphalia, details have finally emerged of the new longwall company, which is Hauhinco Bergbautechnik or HBT.

Its main bases are in Sprockhoevel as well as the former Caterpillar underground mining hub (and former DBT hub) in Luenen. The expertise and capabilities of the former Cat location at Wuppertal will also be transferred to Sprockhoevel. But it also has locations in China, India, Australia and the USA, with management teams mainly former senior Caterpillar staff.

Fittingly, its new blue and yellow striped logo is very similar to the former DBT, or Deutsche Bergbau-Technik, a legendary name in coal mining equipment & technology, which was acquired by Bucyrus in 2007, with Bucyrus then being acquired by Caterpillar.

Initial action items include lowering communication barriers, improving contact and communication from the HQ to regions, plus building and strengthening joint ventures in India and China, customer service teams and distribution channels, increasing capacity and improving automation processes in Automation. HBT also intends to increase product offerings, including legs and cylinder production plus placing new shearers with strategic customers. Finally focusing on achieving on-time deliveries.

The management team is quite a line up. Notably HBT has longtime Caterpillar Product Manager for Underground Technology Jay Armburger on board, as CTO Longwall and Automation as well as CEO of the US arm HBT Americas LLC, where another Caterpillar veteran, Dayven Johnston is now General Manager. Long time Hauhinco employee Ron Osselborn, is President/COO of HBT Americas. In Australia, Kevin Parsons is CEO, a former ex-Caterpillar Commercial Manager. China is headed up by two new Directors – longtime ex-Cat employees Neil Li and Cindy Yang. India’s key Director is Chandrashekar V, formerly Cat dealer GMMCO MD and CEO.

HBT CEO Christopher Koslowski states on the establishment of the new group: “It has been a long journey to bring us together to this Day 1. We thank you for your patience and great efforts, and the team from Cat for the relentless efforts to make this happen…we are excited about the possibilities that lie ahead, forming a powerhouse of longwall mining technology and beyond, venturing together further into the mining industry as well as broadening our horizons by applying our wealth of knowledge and expertise to other industries.”

He adds on the company’s new approach: “Our engineering approach is listening, analysing, shaping, and delivering. Our engineering includes the entire product lifecycle with serviceability and TCO as an integral part of the engineering DNA…the objective of customer satisfaction across the value stream, including, importantly, the aftermarket focus, is our utmost aim. Anything that we do is geared towards our customers. That is the only place where we can create sustainable value, and that is the only place that ensures our existence. Our approach to customers is guided by listening, analysing, adapting, and delivering. For this, we need to be closer to our customer base. The distribution model is best described as direct. Over the next months, the direct approach model will take shape – everywhere. This will bring about organisational change within each region, as we grow into our direct model role.”

He was also keen to emphasise the new company’s green approach going forward: “Our approach to our environmental responsibility and responsibility within our respective communities will lead to an industrial transformation of our company. The first real sign of this you will see with the upcoming investment into photovoltaic electricity production in Sprockhoevel and Luenen. By the end of 2023, we strive to be grid independent during daytime production, producing a sizeable surplus of electricity to feed into the grid. In 2024 we strive for a further technological step toward energy independence by installing hydrogen capabilities in Luenen. Our carbon footprint will be measured and equalised by 2028.”