Tag Archives: AECI

AECI aims for top three integrated mining explosives and chemicals solutions provider status by 2030

13th November 2023Automation, Explosives and blasting, Mining equipment, Mining services, Precious metalsAECI, AECI Chemicals, AECI Mining, Blasting, Holger Riemensperger, mining chemicals, South AfricaDaniel Gleeson

Ahead of AECI’s 100th anniversary, the South Africa-based company has announced that it aims to double the profitability of its core mining and chemicals business by 2026 and to become a global top three integrated mining explosives and chemicals solutions provider by 2030.

These ambitions were laid out at a recent Capital Market Day, where AECI Chief Executive, Holger Riemensperger, announced the company’s revised strategy, which aims to extract value from its underlying operations.

Riemensperger said: “AECI is more than a business. It is a South African institution. At our core, we enable safe mining operations. While some synergies exist across our diversified industrial group, other business units within the portfolio have no synergies. Those underperforming units will be better served under different ownership. The changes we are making take into consideration several factors, including the external environment. They are aimed at ensuring that as AECI reaches its centennial anniversary in 2024, it is better positioned to navigate the changing environment and positioned for strong growth in the future.”

AECI’s strategic update follows a comprehensive review of the business’ operations in which the board and management identified the business units that are central to the sustainable and profitable growth of AECI, the company said. The strategy is premised on building on the group’s solid foundation and ensuring that it is structured in a manner that enables it to unlock value in the near term.

A core driving force of the strategy is to deliver operational and executional excellence through focusing on AECI’s core businesses and existing strengths while ensuring a disciplined approach to capital allocation and execution.

The AECI of the future, the company says, will see the group focus on its core mining and chemicals capability and divest out of non-core businesses.

AECI Mining will remain the group’s main growth focus. The business will look towards growth in Asia-Pacific, South America and North America as it drives its ambition to be top three on a global scale by 2030. AECI Chemicals will be re-organised and repositioned to enhance its cash generation capabilities through prioritising high-margin products and services and ultimately support the growth of AECI’s Mining division. The remaining businesses – Much Asphalt, Animal Health, Schrim, Sans Fibers and Beverage – which are not core to the identified growth levers will be exited out of in an orderly manner and over a period of time, the company said.

The group management structure has also been adjusted to reflect the changes in the business and to drive empowerment, accountability and quick decision making.

Riemensperger concluded: “At AECI, we stand together with a shared vision of a better world. We recognise that to secure our place for the next 100 years, we must embrace change, progress our strategy to seize new opportunities, and navigate market shifts with agility and profitability. I believe that the changes that we are making will be net positive for the business and the unwavering focus on operational and functional excellence will act as a catalyst for further innovation and profitable growth, and will unlock value for all of AECI’s stakeholders.”

AECI Mining expands Latin America explosives reach with Dinaser acquisition

4th September 2023Explosives and blasting, Mining mergers and acquisitions, Mining servicesAECI, AECI Mining, AECI Mining Produtos Quimicos Ltda, Dinaser Industria, Explosives, Holger Riemensperger, Mark KathanDaniel Gleeson

AECI Mining says it has concluded the ZAR45 million ($2.4 million) acquisition of Dinaser Industria, an explosives business in Brazil.

The acquisition, executed through local entity AECI Mining Produtos Quimicos Ltda, includes 100% ownership of Dinaser’s explosives distribution and storage facilities as well as operating licences in the mining states of Minas Gerais and Bahia.

Holger Riemensperger, AECI Group Chief Executive, said: “This acquisition is in line with AECI’s strategy to continue expanding its already extensive footprint in the global mining sector. It builds on our existing reach in Brazil where we already own and operate a bulk emulsion and packaged explosives manufacturing plant, in the state of São Paulo, and have also seen good growth in the South American metallurgical extraction chemicals market.”

Mark Kathan, AECI Mining CEO, added: “Dinaser currently serves mainly the Brazilian construction and civil blasting industry. With our world-class products and know-how in both underground and surface mining, as well as our longstanding relationships with global customers, the opportunities to grow the business are significant.”

AECI Australia cements Thiess relationship with five-year contract extension

6th July 2021Explosives and blasting, Mining consumables, Mining servicesAECI, ammonium nitrate, bulk emulsion, contract mining, electronic initiation, explosives and blasting, initiation systems, Intellishot, Mark Dytor, New South Wales, Queensland, ThiessDaniel Gleeson

AECI Australia has been awarded a five-year contract extension by contract miner Thiess for the supply of bulk emulsion explosives, initiating systems and related services for mines in Queensland and New South Wales.

This contract consolidates AECI’s base business in Australia and further strengthens the relationship between the two companies, which began in 2014 when AECI entered Australia to support this major mining customer, AECI said. The two also have long-standing partnerships in Indonesia and in several countries in Africa.

The Australian contract, using AECI’s existing in-country capabilities and infrastructure, includes supply of bulk emulsion explosives formulations produced at AECI’s site in Bajool, Queensland, as well as gassing technology for down-the-hole delivery by Thiess; supply of ammonium nitrate; and supply of the Intellishot® electronic initiating system and booster.

Mark Dytor, AECI Chief Executive, said: “AECI Australia is celebrating the achievement of seven years worked without a lost-time injury. We are proud to deliver a safer, innovative and cost-effective product offering that enables ‘One AECI, for a better world’. Better Mining is one of our sustainability goals because we recognise the importance of making global mining safer and more circular. Significant opportunities exist and we look forward to realising more of these in collaboration with customers such as Thiess.”