Tag Archives: shutdown services

DRA Global offloads G&S to KAEFER Integrated Services

Mining mergers and acquisitions, Mining services, , , , , , , , , ,

DRA Global and KAEFER Integrated Services have executed an agreement for the sale and purchase of the business of G&S Engineering Services Pty Ltd and G&S Support Services Pty Ltd (collectively G&S), comprising selected contracts, assets and liabilities for A$8 million ($5.6 million).

The sale is subject to conditions precedent standard for a transaction of this nature and is currently expected to complete before the end of the September quarter of 2022.

G&S, based in Mackay, Queensland, has a 25-year track record of delivering services to the Australian resources sector, with a focus on maintenance and shutdown services and structural mechanical piping (SMP) construction services.

KAEFER Integrated Services is a provider of technical industrial services specialising in insulation, access, surface protection, passive fire protection, as well as mechanical services.

DRA Interim Chief Executive Officer, James Smith, said: “DRA has been undertaking a strategic review of its business, to ensure that we re-focus on our core strengths of engineering, project delivery and operations management. G&S, with its focus on operational maintenance, SMP construction and shutdown services, is not part of this core focus.

“We believe the G&S business will be best served under the ownership of KAEFER, where it can benefit from having an owner that is strategically aligned to providing the required investment and management focus.”

The sale comprises certain key contracts, assets and liabilities of G&S. Importantly, the new owner, KAEFER, is committed to building on G&S’ work program and connection with clients and suppliers and maintaining a strong workforce, DRA says.

DRA previously announced the cessation of its APAC construction business, with G&S currently seen as loss-making, as a result of some poorly performing construction projects. As a result, it is no longer considered a core part of DRA’s activities.

For the financial year ended December 31, 2021, G&S contributed approximately 20.1% of group revenue, EBITDA and profit contributions were negative, and accounted for approximately 10% of Group assets. Those proportions have since decreased.

The re-focus of DRA’s APAC business on engineering, project delivery and operations management requires a restructure to optimise these operations, the company says. Further, the group is finalising the outcomes of its previously announced operating model review which is also expected to optimise the group’s corporate overhead structure.

Clough’s e2o Asset Services to carry out shutdown work at Newcrest’s Lihir mine

Comminution of minerals, Equipment maintenance, Mineral processing, Mining maintenance, Mining services, Precious metals, , , , , , ,

Clough’s recently launched asset services business, e2o Asset Services, has been awarded a shutdown scope at Newcrest’s Lihir gold mine on Lihir Island, Papua New Guinea, it says.

The scope awarded includes support shutdown maintenance activities, with the asset services team working with Newcrest to prepare, plan, schedule, execute, close out and improve the site’s grinding and flotation major planned shutdowns.

The shutdown execution works include – but are not limited to – planned maintenance work, corrective work and project improvement works, Clough said.

The site’s grinding and flotation major planned shutdowns are completed every March and September and form part of the site’s larger “smart shutdown” schedule, the company explained. Work will commence immediately with the first shutdown planned for March 2022.

Peter Bennett, Clough CEO and Managing Director, said: “Clough has over 40 years of experience delivering projects in PNG and this contract will continue to bring opportunities to local talent, businesses and the community at large.”

Brent Maas, Clough Vice President Services for Queensland and PNG, said: “Our history in PNG is extensive and this award ensures we continue to make a positive impact in the PNG community while working with Newcrest to maximise the value of their assets.”